Most power companies have inked FSAs with Coal India

Source : IANS
Last Updated: Mon, Mar 04, 2013 13:20 hrs

New Delhi, March 4 (IANS) Most power utilities commissioned up to end-March 2009 have inked fuel supply agreements (FSAs) with subsidiaries of Coal India Ltd (CIL), Minister of State for Coal Pratik Prakashbapu Patil informed the Rajya Sabha Monday, signalling a breakthrough on the FSA issue.

Barring the thermal power plants of Patratu and Barauni, all others have signed FSAs with supplying companies to the tune of 303.70 million tonnes of coal.

Many power companies had delayed signing the FSAs owing to differences with CIL about the agreement clauses.

In a written reply, the minister said that in the category of plants commissioned or to be commissioned after March 31, 2009, a total of 55 power plants, with a capacity of 21,741 MW, have concluded FSAs with Coal India.

Earlier this month, Power Minister Jyotiraditya Scindia had expressed optimism that the remaining FSAs would soon be signed.

Recently it was reported that the coal ministry had questioned CIL for considering fuel supply agreements (FSAs) with 11 power developers since they are yet to achieve critical milestones related to their projects that are worth 5,935 MW capacity.

Among these projects where land acquisition, for instance, is still incomplete are NTPC's Dadri Stage-II, Unit-2 of 980 MW in Uttar Pradesh and Tata Power's 500 MW Maithan Power project in Jharkhand.

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