CIL plans to introduce a new pricing policy

Coal India Limited (CIL) is planning to introduce a new pricing policy for coal in line with global practices by April 2018. As per the policy, coal pricing will be based on a per unit gross calorific value of coal instead of the grade policy followed till now. Under the grade policy, consumers are required to pay a fixed price for different energy content for a particular grade. The new policy aims to link the pricing of coal to its quality and is expected to have a positive impact on coal production. Recently, CIL also increased the price of non-coking coal by 9 per cent, from which it expects to earn an additional Rs 64 billion during 2018-19.