Power cos complain about increase in reserve prices for spot coal by CIL

The APP also said that power units are facing huge under-recoveries of cost, owing to delayed payment from the state-owned power distribution companies

Privately-owned thermal power units have complained about coal price increase in the spot forward e-auction (SFeA) by state-owned Coal India and its subsidiary companies. The thermal companies have alleged that coal firms have increased reserve price in the range of 10-32 per cent.

In 2016, SFeA was introduced for those power units that do not have a long-term fuel supply agreement with Coal India. Coal India declares reserve price for every round of monthly auction, which is 10 per cent above the notified price of coal in India. Power units participate in a competitive auction process and offer premium of