IMMEDIATEFile No.CLD-23OL4 I 3 I 2olg-C.LD

Government of IndlaMinistry of Coal

Shastri Bhawan, New Delhi,Dated the lfDecember, 2019

To

1. The Chairman-cum-Managtng Director,Coal India Limited, Coal Bhawan,Premise No-04 MAR, Plot No-AF-III,Action Area-1A,Newtown, Raj arhat, Kolkata-7OO 1 56

2. TL,e Chairman-cum-Mana$ng Director,Singareni Collieries Company Limited,18, Red Hills, Khairatabad PO, Hyderabad,Telangana.

Subject: Meeting of the Standing Linkage Committee (Long-Term) for Power Sector -SLC/LT No.2/2OL9.

Sir,

I am directed to forward herewith the approved minutes of the meeting of the SLC(LT) for Power Sector held on 18.11.2019 to consider the requests for coal linkagesto Central / State Sector Power Plants and to review the status of existing coal

linkages/LoAs & other related matters.

Enclosure as aboue

".[TLrs"i.fri"il*, 1rt"1'

Under Secretary to the Govl. of India J

,-

copJ,lg.- --,1. -Additionalli

L l** ***-{*---*-**'liZ. fuincipal Advisor (Enerry), NITI Aayog, Yojana Bhawan New Delhi. i Member

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L*J***is. i-loint Secretar5r fdoart, Ministry of Coat tO*"* jL-J**** "****-'t*i+. inavisor (Projects), Ministry of Coal I

i--.*L_-.f . Sl;;S;ili';ry;1fr;i"t y 'r st*t" iiat& Bh";"',"NJ* Dir,i1 , -_L...

iA. -fomt Secretary, Department of Industrial Policy & Promotion,

J******Ji Member

;

J-"-Udyog , Member

LJ**- l*_****

,*--f*"* J******J19. Fxecutive Director, Coal, Railway Board, Room No. 261, Rail Bhawan, Newl Member i

.1O Director (Marketing), Coal India Limited. ' Member :

i. " r-"'* 'i.,,

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r**i**- *l*****-l111 ,CMD's BCCL, CCL, ECL, MCL, NCL, SECL & WCL ' Members I1--1----JY'uvY'l---------ti'i,lL *L* J.*****J112 th.rrTan.-cum-Managing Director, Central Mine Planning & Design Instt i Member

;

;. Ltd., Gondwana Place, Kanke Road, Ranchi. I il. l

13 Chairman, Central etiitricity Antnoritv, Se;; B#;an,-RK Pui;;;M; ' ""r* li4;-ffi;* l' n^rli 1 ,i. :Delhi ',

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'i4:ah"ii#il, NrpC;S.op. co-prei-,-l6ar,i troi i; N;* b;itiiriibood "*: - irr.ffiJi"*,'l'15 Nominated Authority, Ministry of CoaI-t16 iJoint Secretary, CBA-I Section, Ministry of Coal

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Copy to:(i) Coat Controller, Coal Controller OrganLation, Kolkata(ii) Director (Technical), CIL(iii) GM (S&M), CIL, Kolkata(iv) CGM (CP), CIL, Kolkata(v) GM (S&M), CIL, Delhi.

Copy also to -

1. PS to Minister of CoaI2. PSO to Secreta4r (CoaI)3. PPS to Additional Secretar5r (CoaI)4. PPS to Joint Secretary (LA)

Copy also to - NIC, Ministry of Coal with the request to upload it in the website of Ministryof CoaI for information of all concerned.

I

i

Minutes of the meetlng of the Standing Linkage Committee (Long Term) for Power Sector held on18.1 1.2019

Chairman SLC(LT) stated that in view of the present scenario of therma-l coal imports in the country, it isdesirable that a-11 allocated coal blocks should be operationalized within the scheduled timelines. This wouldenable allocation/earmarking of coal linkages from CIL/SCCL to the Power Plarts which do not have coallinkages. The Mining Plans are made by the Project Proponents (PP) and are approved by the competentauthority. Hence, the PPs should adhere to the production schedules which have been prepared bythemselves. The Committee then proceeded to discuss the agenda items as per the detail below.

Sr. No. Issue Summary of Discussions Recommendations wtthreaaons

Confirmation oIthe Minutes of theSLC (LT) meetingheld on24.06.2019

Agenda No. 5 [Extension olBridge Linkage for BarauniStage-II (2 x 25O MW)l

Ministry of Power uide O.Mdated 29.08.2019 hadstated that Bridge Linkagewas sought for 2 units ol250 MW of Barauni Stage-II, whereas 3 units werementioned in therecommendations of theSLC (LT).

Minutes of the Meeting of theSLC (LT) held on 24.06.2079stand amended to this extentLe. 2 units instead of 3 units.

Agenda item No.1

Iransfer of coa.llinkage granted toretired units i.e.Phase -I (5x62.5MW) of SatpuraTPS and Phase-l(1 x3O + 1x20Mw) & Phase-II (2*. 72O MW) ol

Ministry of Power vide letterdated 1O.06.2O 19 has requestedto transfer the coal linkagegranted to retired units i.e.Phase -I (5 x 62.5 MW) olSatpura TPS and Phase-l(1x3O+ 1x20 MW) & Phase-Il(2x120 MW) of Amarkantak TPSto the New plant of SuperCritical capacity i.e. 1 x 660 MWSatpura TPS and of 1 x 660 MW

Project Proponent statedttrat the old units ofSatpura TPS andAmarkantak TPS are de-commissioned and the coallinkages have beensurrendered. Further, thecoal linkage is required for 2x 66O MW capacity of SuperCritical Units of Satpuraand Amarkantak TPS.

Basedrecommendations of Ministryof Power and also as in viewof the request of the ProjectProponent, SLC (LT)

recommended for grant olcoal linkage to the SuPerCritical capacity olAmarkantak TPS (1 x 660MW) and Satpura TPS (1 x660 MW) of M.P Power

the

wr,-,

takthe New

f Super

tak TPS !ect Proponentshortfall may be alloca brmed that Amarkan

per extant policy. (1 x 660 MW) would

erating Compaayfrom Coal

under para B oIn(i)

i.e. 1

ent of Madhyae letter dated

requested/ allocate coa-l linkageand Amarkantak TPS.

BA-II Section has informO.M dated 03.10.2019

er the provision ofes (Specia-l Provisions)

15, no coal mine hasto M.PCompany

BA-I Section has informed.M dated 18.11.2019 that

block has been allottedL. Further, the

per critical capacity i.e. ISatpura TPP and 1x66O

TPS of MPPGCLt linked with any of the

locks allocated under MMD

per the policy forof coal linkage,

issioned in 2024-25 SHAKTI Policv.Satpura TPS (1

MW) wouldssioned in 2025-26

ject Proponentfresh linkage forpower plants.

ofMWand

kantak TPS

ted to old

2-

iluwtlu"Pr

(

transferred to thew plaat of super

and in case ofty of the new

plant is higher thanplant, additional coal may

priority, subjectof coal.

LC(LT) may take a view in

3

mmendation of Minist:Power, SLC ll

ended for grant olinkage under para B (

f SHAKTI Policy from

- 6 (660 Mw)

usawal Unit-6 (660Mahagenco would

requested forforthe1x660

that no coal bbeen allocated

sawal Unit-6 (660 MW).

t was not presenthe meeting, Ministry o

to Bhusawal Unitpara B (i) of S

A from Cbsidiaries

A to fulfrl th

,18 MTPAusawal Unit 6.

te coa-l linkage of 3. 1

A for Bhusawal Unit 6of Mahagenco und

tomatic transfer of coal polisupercritical units (o1d

linkage of 2.922 MTPA frosubsidiaries and

al linkage of 0.258 MTPA). Thid matter was also taken up i:

meeting of the SLC(LT)27.06.2O18 w}rerc in

LC(LT) recommendedof scrapped unit

t be transferred tolants already having

. CEA was also requestprovide the complete list

e-commissioned plants toia Limited. However

ly,-,.,

recommended

item No.

Bhusawal Unit 6 (660 MW) doesnot have a Bridge linkage.

As per the policy for automatictransfer of coal linkage, linkagegranted to old plants shall beautomatically transferred to thenew plant of super criticalcapacity and in case of thecapacity of the new supelcritical plant is higher than theold plant, additional coal may beaccorded priority, subject toavailability of coal.

SLC(LT) may take a view in thematter.

A,genda item no.3

llrant of Rridoe

IANGEDCO uide letter datedL4.O2.2019 requested BridgeLinkage for the following units:a) Ennore Thermal PowerStation Expansion project, 1 x660 MW

b)Udangudi Thermal PowerProject Stage-I, 2 x 660 MW

c)Ennore SEZ SupercriticalThermal Power Project, 2 x 660MW

IANGEDCO had stated thatChandrabila coal block was

Project Proponent informedlhat there is a delay olaround 2 years due tcclearances from MoEF&CC

After deliberation, SLC (LT,recommended for BridgrLinkage for the first unit o.

Ennore SEZ (1 x 660 MW) oJ

TANGEDCO for the 5Oo/r

capacity. SLC (LT) furtherrecommended that the BridgeLinkage for the balance unitsshall be considered in 2O2L-22 after taking into accountthe inputs on thedevelopment of the coal blocklrom the Project Proponentand CBA-I.

Linkase to the as well as issues withdumping area. Further, theyare proceeding for theircontract for appointment olMDO. Chandrabila coalblock allocated for theseunits of TANGEDCO isexpected to start productionlrom 2023-24.

CEA informed that Ennore

IPPs olIANGEDCO

qWn*/

otted to TANGEDCO EZ l1 x 660 MW) is comin4.02.2016. The expectedf commissioning of Ennore

Udangudi TPP is 2027-22date of

Ennore SEZ STPP is 2O2O-21.

p in 2O2l-22 endunit in 2022-23

, Udangudi TPS (2MW) is coming up-zJ -

, due to constraints ofbtaining coal linkage at th mmended for

of conceiving the projec in view ofe boilers were designed fo culty being faced

lilizing indigenous coal for Proponentoff PLF. The balance requirem

be met through coal block.It was requested to ap

for 5Oo/o PLF.ce requirement will be

imported coa1.

of TPPs at SOok

as under:

ore TPS Expansionis 1.885 MTPA

dangudi TPP (Stage-I, 2 xis 3.647 MTPA

SEZ STPP (2 x 660s 3.682 MTPA

BA-II Section had inform

by

5

no coal block is allocated

{T*".-,.

ANGEDCO undersions of CMSP Act, 2O 15.

istry of Powerended Ministry of

accord Bridge Linkageuse of blendeding 50% imported

5O% indigenous coal.

matter was taken up ineeting of the SLC (LT) held4.06.2019 and during theeting, the Project

informed thatblock allocated to it

eduled to sta-rt operation3-24 and the delay in

naJizatior, was duees related to forest

dumping of overburd-I Section informed that

of this coalh has been allottedMM (DR) Act, has slipped

least 2 years as of now. Thect Proponent requested

of Bridge Linkage up023-24. It was a-lso inform

the Project Proponentmeeting that the first unit

to be commissionedI and that no clearance

L

044Y*4#{

I

other approval is held up fit of Bridge Linkage.

f Power recommendedfor 50% of the 33OO

apacity. Based oneliberations held ineeting, SLC (LT) deferred

LC (LT) may take a view in th

thth

7

on the deliberationsLC (LT) recommended gran

Bridge Linkage of O.5the year 2O2O-21 for

ur TPP (3 x 66of NUPPL and

ce requirement toiewed in 2O2O-27

uts on development oblock from the

ponent and the NA.

Project Proponened that production o

MT is expectedalabira I & II coal blocks

year 2021, whichto the requirement

pur TPP (2.5 MT)er, as per the

lock Development an

CBDPA), productionhwara South coal b

start in August, 2022.ject Proponent

brmed that the lst unit o

e power plant is likely

, 2020 and thethe 3rd units in 2021. Th

Proponent stathere is a requirem

'eyweli Uttar Pradeshimited (NUPPL) had su

application regardingto Ghatampur Th

Station (GTPP) ofhad statedSouth Coal block

tted to NUPPL vide allotmdated 03.1O.2016has entered into

Developmentuction agreement (CBDP

ith Nominated Authority22.02.2017 . As per CBDP.ine for completion

loration and preparationR is 21.12.2O1a. Further

IL had requested NA 1r

ding the timeline fipletion of exploration

tion of GR by onern 21.12.20).8

l,r,_-

reasons due to non-conduciveatmosphere prevailing at site,Actual production of coal willtake more time from thecommencement of mineexcavation in May, 2022. NLCIThad requested to grant BridgeLinkage to GTPP for three yearsi.e. for the year 2O2O-2L, 2O2I-22,2022-23.

CBA-II Section had informedthat no coal block is allocated toNUPPL under the provisions o1

CMSP Act, 2015.

The matter was taken up in theSLC (LT) meeting held on24.06.2019. During the meeting,the Project Proponent hadinformed that Pachwara Southcoal block was allocated on22.02.2017. It was also informedby the Project Proponent thatcoal production from Talabira II& III coal blocks is likely to startfrom 2019-20, with an expectedproduction of about 2 MTPA.The Project Proponent had alsoinformed that the 1 "t unit of thePower plant is likely to becommissioned in November,2O2O, the 2nd unit bv April,

of Bridge Linkage coal of 0.5MT for the year 2O2O-2LIt was also informed thatthe Mining Plan oIPachwara South coal blockis under preparation.

fu y.r,^,4r

g

2O2l and 3 .d unit by December,2022. The Committee noted thatproduction from Talabira II & III:oal blocks has come up andlan be further ramped up byNLCIL. It was, therefore, decided[o defer the item.SLC (LT) may take a view in thematter.

Additional Agendas for discussion in themeeting of the SLC (LT)

ldditionalA,genda Item No.tSigning of Fuel3upply Agreementrdth UnchaharStage IV (1X500MW) under Para3(i) of the SHAKTIScheme

Coal India Limited vide e-mailldated 08.11 .2019 has statedlthat in terms of approvedrecommendation of SLC LT No.03 / 17 held on 29.06.2017 ,

Linkage/LOA was issued toNTPC Unchahar -IV (1X500 MW)from CCL & BCCL on04.01.2018 which is valid up to03.01 .2O2O. Subsequently, aftersuccessful completion of allmilestones by NTPC Unchahar -IV (1x500 Mw) on 18.09.2018i.e. within the stipulatedtimeline of LOA, CCL vide e. maildated26.O9.2O18 communicated thedraft model FSA to NTPC for itsUnchahar Stage IV (1X500 MW).The mode of supply was

IIL and NTPC informed thatsome more time was neededlo sign the FSA by bothparties and hence an:xtension of 6 months maybe considered.

SLC (LT) recommended foi:xtension of 6 months forsigning of FSA from the datecf issue of SLC (LT) minutes.

W*1

mentioned as "RAIL/RCR"Schedule I of the draft FSA.

NTPC vide letter no.OI/CC/FM/FSA dated10.10.2018 requested that modeof transport as mentioned inSchedule I of draft FSA may bemodified to "Rail" in place of.Rail/RCR". In response to theabove, CCL vide letter no.ccL IHQ I C-4 / t8-te ls43r-34dated 16.1O.2O18 informed thatCCL is fully prepared forexecution of FSA with NTPC forits Unchahar Stage IV (1X5OOMW) unit. As regard to requestof NTPC for modification in themode of transport fromRail/RCR to only Rail, it wasalso informed to NTPC videabove referred letter that modeof transport as requested byNTPC i.e. "Rail" is alreadyincluded in the draft FSA alongwith RCR as an alternativemode. Another reminder wassent to NTPC by CCL vide letterdated 05.04.2019 for executionlof FSA. However, NTPC did notlcome forward for signing of FSA.INow, NTPC has again requestedlyide its letter .ro.l

l",xo.u,.^n

l,o

1r

NTPC/FGTP/FM/45 dated03. 10.2019 to consider theirrequest for mentioning "Rail"mode only at Schedule I in theCraft FSA.

ln the matter, Coal India Limitedhas stated that NTPC being thelargest consumer/Psu and inview of present demand/supplyscenario, wherein CCL is alsogearing up for optimizing it's railloading, now CCL may considerlhe request for mode of supplyas "Rail" in respect of NTPCcnly.However, Coal India Limited hassought attention towards clause3.4.2 of the LoA relating to''failure to sign the FSA", therelevant part of which is quotedbelow:

'The assurer shall haue the rightto encash the CG in the euent o1

failure bg the Assured to sign theFSA within three (3) months formthe expiry of ualidity of the LOAor the satisfactory achieuementof all the milestones as shoutn inAnnentre-l, whicheuer is earliel'

0

+"yXxr--,Ir,

India Limited has stathat in-spite of having ac

the milestones, NTPC did noome forward for signing ofdthin the stipulated time

been requestingrporating the mode

upply in Schedule I ofA as "Rail" in place

Rail/RCR" as referred above.

view of above, SLC (LT)e a view for considering tim

tension for signing of FSA witUnchahar -IV (1Xs

Rationalization

Bongaigaonit from N

th NT

isaon Unit

India Limited vide e-mated 08.11 .2019 has staat SLC (LT) in its meeting1lth May, 2006 granted long

erm linkage to NTngaigaonunits I &2 (2x2S

W) from NEC for a quantity1.65 MTPA. LOA for L.2Sas issued by NEC. Later on

on the recommendationinistry of Power and

bjection from CIL, SLC (LT) its meeting held on L4.O2.2OLuthorized issuance of LOA fi.4 MTPA coal for Bongaigaoits 1 & 2 from ECL as per

IL and NTPC informed thhe coal availability scenari

ired shifting ofier coal linkage to ot

bsidiaries where coal w

on the requestPC, SLC (L'

mended for transfer

unitsle2p50 MW) from NEC tobsidiary of Coal Indi

imited, as maynsidered by CIL.

\**

l1-

review of

a

)

t

sions of NCDP.cordingly, NEC has ent

nto FSA with NTPC for supply o1.25 MTPA coal to Bongaigaonitsl&2foraperiodof2

. In addition to this, NTarakka is also having FSA wi

f.or O.2 MTPA. Considerinannual production plan o

EC (0.7s MT in 2or9-2oler non-power commitments

EC would not be able to supplven the minimum assu

tity (trigger level) to NTPC.n view of the above, NEC

ested for transfer of 0.9PA to other subsidi

ommendation of SLC (LTas coal company specific,

ce, SLC (LT) may take a vin the matter.

nsion oidge LinkageLrauni TPS (2

matter was taken up in thmeeting of the SLC (LT) held on4.06.2019, wherein, SLC (LT)

recommended for allocatiBridge Linkage to the uni

CIL for a period of 1

the formal allotment oBadam coal block is issued ifavour of NTPC by thNominated Authority and

Project Proponenformed that Badam co

,lock, located in the State <

harkhand, has beesferred to NTPC itember, 2OL9 and t

roduction is scheduliom the coal block in t

2023. Projecent requested fo

ased on the request o

, sLC (lmended for grant

idge Linkage for 3iom the date o

ent/transfer of clock for Barauni TPS (2

50 MW) to NTPC as per

kvur-cf-

reduce the existing quantity olBridge Linkage by 1% for thisfinancial year provided the delayin operationalization of the coa-lblock to which these units arelinked is attributable to theproject proponent.Ministry of Power vide O.Mdated 29.O8.201,9 had statedthat as Badam coal block is notyet transferred in the name olNTPC, hence, the delay cannotbe attributable to NTPC.Ministry of Power has requestedthat the Bridge Linkage may beextended as per the schedule olproduction of Badam coal blockinstead of 1 year.

SLC (LT) may take a view in thematter.

normal Bridge Linkage fromlhe date of allotment.

Other Additional Iteme for discussion ln the meeting of the SLC (LTl

Sr. No. Issue Summary of Discusslons Recommendations withreasons

Other AdditionalItem No. 1

Allocationadditionallinkase

ofcoal

for

Ministry of Power vide O.Mdated 15.11.2019 have statedthat it had recommended videO.M dated 14.O2.2O19 forallocation of additional longterm coal linkage under

It was discussed that theearlier recommendation ofSLC(LT) dated 29.O3.2OLThad already stated thatCEA may study the coalrequirement of pre-2009

SLC (LT) reiterated itsearlier recommendationmade in the meeting dated29.03.2017 that CEA maystudy the coal requirementof pre-20o9 plants and

tj

!y*

submit proposal.RamagundamStage-III Uruit-7(500 Mw) of NTPC

Clause B (i) of policy 'SHAKTI'for Ramagundam Stage-IIIUnit # 7 (500 MW) of NTPC.

The matter of review of ACQ ofRamagundam III ThermalPower Plant of NTPC has beendiscussed in the SLC (LT)meetings held on 01.09.2016and 29.03.2017. Based on thediscussions, SLC (LT) in itsmeeting dated 29.03.2017 hadrecommended that CEA maystudy the coal requirement ofpre-2009 plants and submit

recommendations of the SLC(LT) were approved by theCompetent Authority.

The proposal from CEA withrespect to the coalrequirement of Pre-2009plants have not been received.

SLC (LT) may take a view inthe matter.

plants. CEA informed thatthe study has not beencompleted.

In view of the discussions,SLC (LT) reiterated itsearlier recommendation i.e.tapering as per approvedMining Plan.

Other AdditionalItem No. 2

Bridge linkagesfor Lara-I, Tanda-II, Barh-II &

Ministry of Power vide O.Mdated 15.11.2019 have statedthat it had requested vide itsO.M dated 24.O6.2OL9 toconsider Bridge linkage of thementioned proiects on

Project Proponentinformed that Talaipallicoal block has startedproduction. However,there is a delay of about 6months. It was also

t.r

Kudgi projects ofNTPC

Tapering basis as per 'actualproduction' of linked minesinstead of 'production as permining plan'.

SLC (LT) in its meeting heldon 1O.O4.2O18 had extendedthe Bridge Linkage for TandaStage *Il (2 x 660 MW), LaraStage-I (2 X 800 MW), BarhStage-II (2 x 660 MW) andKudgi Stage-I (3 x 800 MW) ontapering basis as per approvedmining plan.

SLC (LT) may take a view inthe matter.

discussed that the MiningPlan has been made by thePP and submitted forapproval and hence therewas no reason as to whythe production as perapproved Mining Planshall not be achieved. Inthe event of the PP failingto achieve the coalproduction, the impactwould be on other powerconsumers who may haveto resort to imports tomeet their demand.

Other AdditionalAgenda Item No.3

Extension ofBridge Linkage toMejia TPS U# 7 &

Chandrapura TPSUnit # 8 of DVC

Ministry of Power vide O.Mdated 05.08.2019 and30.04.2019Ministry of Coal to considerthe request of DVC to extendBridge Linkage allocated toMejiaTPSU#7&8andChandrapura TPS U # 8 for 5yea-rs.

SLC(LT) in its meeting held on24.06.2019 had recommendedthe extension of BridgeLinkage to the 3 units of DVCfor a period of 1 year. Therecommendations of the SLC

informed that AllotmentOrder for Tubed coal minewas issued by theNominated Authority on07.ro.20t6.production from the coalblock is expected to bestarted in June, 2O2O andPRC to be achieved in

Proponent also informedthat all the three units i.e.MejiaTPSU#7&8andChandrapura TPS Unit # 8of DVC are operational.

recommendation of Ministryof Power as well as therequest of the ProjectProponent, SLC (LT)recommended for extensionof Bridge Linkage to MejiaTPSUnitsT&8andChandrapura TPS Unit no.8 of DVC for another 1 yeari.e. up to 06.70.2021.

tb

(LT) have been approvedthe Competent Authority.

SLC (LT) may take a viewthe matter.

by

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