Government covers 73 thermal plants under four rounds of rationalisation of coal linkages

A total of 73 thermal power plants have been covered under the four rounds of rationalisation of coal linkages, an official statement said on Friday.

Of the 73 Thermal Power Plants (TPPs), 58 belong to state/central gencos (generation companies) and 15 are Independent Power Producers (IPPs), the statement, released by the Ministry of Coal, said.

“So far, four rounds of rationalisation of linkage have taken place, covering 73 TPPs,” the statement said. The move has resulted in the rationalising of 92.16 Million Tonnes (MT) of coal, with a potential annual saving of about Rs 6,420 crore, the statement said.

The government had introduced the rationalisation initiative to reduce the distance in transportation of coal from Coal Mines to consumers, thereby decreasing transportation costs and increasing efficiency in coal-based power generation. Coal India Ltd shall be the nodal agency for conducting the linkage rationalisation.