New coal grading to cost PSPCL R80-90 crore
ahadurjeet Singh [email protected]
RUPNAGAR:
The notification regarding coal grading and pricing has just been received. We are assessing the financial implications GS CHHABRA PSPCL director (generation)

The Punjab State Power Corporation Ltd (PSPCL) will have to spend Rs 80-90 crore extra on coal for its thermal plants every year with Coal India Ltd (CIL) adopting new gross calorific value (GCV)based grading of coal.
Since January 1, Coal India Ltd has introduced coal pricing based on gross calorific value (heat produced by burning).

Earlier, prices were fixed based on moisture and ash content.

As a result of the gross calorific value-based grading, coal will now be sold in 17 price bands.

The new grading has pushed up coal prices. Following protests by power companies, the hike in prices of E and F coal grades, the most commonly

used, has been rolled back.
However, power companies using better quality coal for blending will have to pay more as the hike for A to D grades of coal has been the highest.

“The notification regarding coal grading and pricing has just been received. We are still assessing the financial implications,” said Punjab State Power Corporation Ltd director (generation) GS Chhabra.