The Central Electricity Regulatory Commission has allowed compensation to GMR Warora Energy Limited for running its power plant on imported coal in the event of a shortage of linkage coal. The order allows compensation for a shortfall of linkage coal. The order is significant as this is the first such order where compensation for a shortfall in linkage coal has been allowed for a period beyond March 31, 2017. Power plant owners will now be able to run their plants on imported coal if Coal India Limited (CIL) is not able to meet its commitments and be able to claim the extra costs in electricity tariffs.
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