Lok Sabha Question No. 2231 (UNSTARRED), answered on 2016-03-10
Subject: Supply of Coal to PSU Power Companies
Ministry: COAL
Asked by: P. C. MOHAN

## GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA

## UNSTARRED QUESTION NO.2231 TO BE ANSWERED ON 10.03.2016

'Supply of Coal to PSU Power Companies'

## 2231.  SHRI P.C.Mohan:

Will the Minister of COAL be pleased to state:

- (a)  whetherthe  Union  Government  has  taken  any  steps  for  the  supply  of  coal  to Public  Sector  Undertaking  Powercompanies  till  their  captive  coal  mines  become operational;
- (b) if so, the details thereof;
- (c) whetherthe Government proposes to test the quality of the coal supplied by the Coal India Limited (CIL) to PSU powerplants and include private players for testing; and
- (d) if so, the details thereof?

## A  N  S  W  E  R

## MINISTER OF STATE (I/C) IN THE MINISTRY OF COAL, POWER AND NEW & RENEWABLE ENERGY

## ( SHRI PIYUSH GOYAL )

(a)&(b) : The policy guidelines for  grant of Bridge  Linkage to  Central/State/Public Sector  Power  Plants  which  have  been  allotted  Schedule-III  coal  mines  under  the Coal Mines (Special Provisions) Act, 2015 and coal blocks allotted under the Mines and  Minerals  (Development  and  Regulation)  Act,  1957  have  been  notified  on 8.2.2016. Bridge Linkage shall act like a short term linkage to bridge the requirement of coal by a Govt. Sector Plant in the intervening period of three years after date of allocation of coal mine/block.

(c)&(d)  : To  address  the  issues  of  dispute  between  coal  companies  and  Power Utilities/developers and to bring about improvement in the quality of coal supply, the system  of  Third  Party  Sampling  has  been  further  improved.  As  per  revised instructions on Third Party Sampling issued by Ministry of Coal on 26.11.2015,  an Independent Third Party Agency is to be empaneled by Central Institute for Mining and Fuel Research (CIMFR) at the loading end on behalf of both the power plant (consumers  -including  PSU  power  plants  and  private  powerplants)  and  the  coal companies (supplier). It has been mandated to enlist third party agencies for work of sampling and analysis of coal through a transparent process.

Under the prescribed procedure, the  authorized  representatives  of  power  plant and  coal  company  have  to  jointly  witness  the  process  of  sample  collection  and preparation  of  the  laboratory  samples.  The  samples  have  to  be  collected  and prepared  by  the  third  party  agency/independent  sampler  as  per  Bureau  of  Indian Standards (BIS) norms. The fee for independent sampling agency has to be borne by  both  the  coal  company  (supplier)  and  the  power  utility  (consumer)  in  equal measure. Procedure also prescribes that the Third Party Agency communicates the Analysis  Results  of  the  sample  within  18  (eighteen)  working  days  of  the  sample collection to the coal company and the power plant. The coal company or the power plant may, if they wish, raise dispute within 07 (seven) days of the submission of the result  by  the  Third  Party.  The  procedure  also  provides  for  analysis  of  the  referee sample in a government laboratory in case disputes are raised within the stipulated time period.

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