New Delhi: The government on Friday said most of the issues relating to FSAs have been resolved and power companies are likely to ink fuel supply pacts with Coal India in a month’s time, putting an end to the long drawn tussle between Coal and Power Ministries.
Coal Minister Sriprakash Jaiswal said, “Most of the issues related to FSAs have been addressed. The FSAs (between power companies and CIL) are likely to be signed in a month’s time,”
The development comes less than a week after Prime Minister’s Office (PMO) directed power producers to enter into FSAs with Coal India within a month. PMO directive on December 17 came after its November deadline for FSAs was missed, amid differences over various issues including coal quality.
According to Power Minister Jyotiraditya Scindia, both Ministries would make joint efforts to re-allocate three coal blocks to state-run NTPC.
Both Ministers said that a joint decision has been taken to ensure that there would be no ‘distinction’ on FSAs for public and private power companies. On the issue of pooling of coal prices, a joint policy by Power and Coal Ministries is expected to be ready in “a week or ten days”, Scindia said.
Green nod for coal blocks mooted
The Ministry of Environment and Forest (MoEF) has assured the Coal Ministry that it would examine the issue of whether in-principle environment and forest clearances can be granted to coal blocks that are to be put up for auction.
The Coal Secretary had said some ministries are in favour of putting up the blocks for auction with certain clearances like environment but that it may not be feasible due to procedural reasons.