New Delhi: Determined to ensure the PMO instructions to Coal India are followed, the government on Monday asserted that, if required, it will issue a Presidential directive to the PSU to commit minimum delivery of 80 percent of the assured supply to the power producers.
"If there is a need, Presidential directive would be issued and efforts would be made that Coal India Ltd (CIL) signs fuel supply pacts with power plants this week itself," Coal Minister Sriprakash Jaiswal told reporters. He said a solution would be found in a day or two.
His remarks come in the wake of CIL not meeting the PMO directive to sign with power producers fuel supply agreements (FSAs) by March 31, with 80 percent delivery commitment.
"The Coal Ministry will hold a meeting with the Chairman and Managing Director of CIL and heads of its subsidiaries this week to take a stock of their production plans. After the meeting, the Presidential directive is likely to be issued," an official in the Coal Ministry said.
The Ministry has already conveyed to CIL that it must sign the FSAs with the power firms, notwithstanding opposition from several independent directors on the CIL board.
Against the backdrop of acute fuel crunch faced by power firms, the Prime Minister's Office (PMO) had held a meeting with senior representatives of the power firms recently and had directed the government-owned CIL to sign the FSAs.
However, the move on assured 80 percent supply has been questioned by several independent directors of CIL and a UK-based minority shareholder, The Children's Investment Fund (TCI). CIL had sought more time to work out agreement with the consumers from the power sector.