CIL hikes transportation charge; power cost may go up slightly

Coal India Ltd (CIL) has hiked the fare it charges from customers for transporting coal from mines to loading points, a development that may lead to a marginal hike of one paisa per unit in power tariff.

Since 2009, CIL has not increased the transportation charges. The company has hiked the charges due to increase in diesel prices and wage costs, company sources said.

     
"When the coal is transported beyond a distance of 3 kms to the loading point, the coal companies shall be entitled to charge additional surface transport costs from  purchasers," Coal India said.

     
The revised rates, applicable with effect from November 14, are Rs 57 per tonne for 3-10 kms. Earlier, the charge was Rs 44 a tonne.

     
For a distance of more than 10 kms and not more than 20 kms, the fares is Rs 116.00 per tonne, CIL said.

     
"In cases, where coal is transported for more than 20 kms to the loading point, transport charges will be payable at actual basis, to be borne by the purchaser," CIL said.

     
"For undertaking special sizing or beneficiation of coal, additional charges as may be negotiated between the purchaser and the producer may be realised over and above the pithead prices," it added.

     
CIL in May had raised coal prices by an average of 10 per cent on lower grades of fossil fuel.

     
The world's largest coal producer had also announced a price reduction for higher grades by an average of 12 per cent.