Indian miners reject govt plan to link coal index to foreign prices: Report
India’s miners are rejecting a government proposal to establish a national coal index that would be linked to international prices, documents reviewed by Reuters show, because it could make domestic supply uncompetitive.
The government is creating a coal price index as part of its plans to open the coal sector to outside investment and end state-run Coal India’s control over prices. The country plans to invite bids from global firms for coal mining blocks by the end of 2019.
A government panel has proposed one index that would link directly to foreign indexes, such as in Indonesia and Australia and a second proposal that measures the value and volume of all coal transactions, including imports, and compares them to a base period, government documents reviewed by Reuters showed.
