Expensive coal imports, logistics may result in higher electricity bills
The trend of electricity bills price hikes in some states is expected to continue as electricity-producing companies plan to pass on the prices of expensive coal imports, Mint has reported.
Notably, in light of the low availability of coal in September-October 2021 and April-May 2022, the Union power ministry had issued directions to power-generation companies to limit their use of imported coal up to 6 per cent of their total requirements until September.
In addition to this, the rail-ship-rail (RSR) arrangement for the transportation of coal from coal-producing states in the Eastern part of India to the user plants in Western India has resulted in increased costs for companies engaged in coal production, the report added.
