Independent power generating companies (gencos) want Coal India (CIL) to determine the gross calorific value (GCV) of the fuel on ‘as received basis’ (ARB), in line with international billing practices, as opposed to CIL’s proposal of taking into account 5% moisture for GCV calculation.
Gencos were responding to CIL’s invitation for comment as it prepares to move to a pricing system where customers pay for the amount of energy they can get from coal they receive (calories/kg). Currently, the fuel is charged on a per-tonne basis, depending on its grades.
In a letter, the Association of Power Producers (APP) has also suggested third party sampling agencies, which determine the quality and value of the coal supplied, should create more labs and hire more personnel to adhere to the time lines for coming up with sampling reports. FE has seen that letter. Failing to meet such time lines warrant penalty provision, the APP has said. They also want South Eastern Coalfields to come up with a standard accepted credit note format as prescribed by the GST rules. Read More