MoC releases policy for long-term coal linkages

The Ministry of Coal (MoC) has released a new policy framework relating to long-term coal supply linkages. As per the framework, coal linkages will be assigned to states/state-nominated agencies which would then invite competitive bids for the procurement of power and allocate the linkages to the lowest bidders. Further, projects which already have power purchase agreements (PPAs) but lack coal linkages will be allowed to participate in the bidding process. These projects would, however, not be allowed to change the tariff in the existing PPA. According to the Ministry of Power (MoP), projects with a cumulative capacity of 41,000 MW are likely to benefit from the new policy.

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