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Coal India seeks longer contracts for power sector

Coal IndiaBSE -0.78 % expects to invite bids for long-term coal supplies to the power sector in the next few weeks as the government is close to finalising the policy for such auctions. This assumes significance because large power generation capacities are lying idle for want of coal. It will help the state-run monopoly miner pursue its production and sales targets while feeding plants that have been facing uncertainty of coal supplies and thus power generation. In the meantime, the company has decided to invite long-term bids for 4 million tonnes of coking coal for the non-power sector in its first long-term auction this year. "We have been given to understand that the government is close to finalising the modalities for auctioning long-t.....

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