coal block allocation
Central government has requested Supreme Court to spare 46 operational coal blocks producing or in the process of producing the fuel.Reuters File

The proposal to pool prices of imported and domestic coal for supply to power plants commissioned after 2009 is under consideration of the government, a senior official said on Monday.

"We keep on analysing and reviewing the pros and cons of the issue and then we will come to a decision," coal secretary SK Srivastava told reporters here.

As per the proposal, state miner Coal India will buy imported coal and supply it to power plants after blending with and pooling its price with domestic coal to meet the current fuel shortage.

The proposal was earlier shelved during the United Progressive Alliance (UPA) rule, as most state electricity boards opposed it fearing increase in power tariffs.

Meanwhile, in yet another directive against Coal India for abusing its dominant position, fair trade watchdog -- the Competition Commission of India (CCI) -- Monday asked the company to cease and desist from unfair business practices.

CCI, which last year imposed a penalty of Rs.1,773.05 crore on Coal India for indulging in unfair business practices, passed two fresh orders on different complaints pertaining to anti-competitive practices in an e-auction scheme and fuel supply pacts, respectively.

"Such arrangement in the scheme was noted to be a result of market power exercised by CIL and its subsidiaries," the Commission said regarding the spot e-auction scheme 2007.

The CCI held CIL and its subsidiaries in contravention of the legal provisions for imposing unfair conditions in Fuel Supply Agreements (FSAs) with the power producers for supply of non-coking coal, the corporate affairs ministry said in a statement here.

The case was instituted by Sai Wardha Power Company against CIL and its subsidiary Western Coalfields in respect of cost plus mines, it added.