KOLKATA: Independent power producers will now be allowed to use contracted fuel supply from Coal IndiaNSE 0.55 % at any plant run by the same group, a senior executive at the state-run firm said.
This is expected to reduce the cost of power generation making them more competitive because if a power company has separate fuel supply agreement for each plant, it can transfer coal from one plant to another. This would also reduce transport cost and take the load off railways during peak season.
