Public sector Coal India Ltd. has announced an increase in prices of non-coking coal from January 9, aiming to rake in Rs. 1,956 crore for the remaining part of this fiscal. They said the comparison with Indonesian coal overlooks the fact that unlike crude oil, coal pricing in India has never been benchmarked to worldwide markets and the company did not reduce its prices when global coal prices had crashed. Due to this revision, CIL will earn an incremental revenue of Rs 1,956 crore for the balance period of FY2018 and projected incremental revenue for FY2019 would be Rs 6,421 crore. All add-ons viz for non regulated sectors, WCL, Rajmahal etc would be as per the extant practice. Reacting to the price revision, Coal Consumers' Association of India's Secretary General Subhasri Chaudhuri told IANS: "Coal consumers have no alternative but to bear the brunt of the price hike".
"We have reduced prices of higher grades to compete with imports in line with the government's vision to reduce imports", Prasad said. The new policy categorises coal under three groups to "simplify" things for consumers, "rationalize" prices and bring "transparency". Following the price revision, Coal India's shares closed at 5.63 per cent higher at BSE on Tuesday, while the Sensex was up 0.26 per cent at 34,443.19 points. In a statement issued on Wednesday, CIL said coal will be priced according to the heating property of each Kg of the fuel - referred as per unit of calorific value of coal, or Kcal/Kg, in industry parlance - instead of a band-based pricing followed till now.
Red Fort attack accused Bilal Kawa arrested after 18 years
He was allegedly in touch with the mastermind of the terror attack, Mohammad Arif from Pakistan's Abbottabad, police said. Kawa's name had cropped up during a trial to convict the alleged accused of the terror attack was going on in court.
G. Chokkalingam from Equinomics wrote Coal India (CIL) has revised upwards the prices of non-coking coal with effect from January 9, 2018. This along with the levy of evacuation charges of Rs 50 per metric tonne is estimated to increase the cost of generation for coal-based power plants by about 13-15 paise/unit, as per ICRA Ratings estimates.