KOLKATA | Sept 27, 2016: Coal India will offer 20 million tonnes of coal for e-auction soon after the festive season. All consumers including traders would be eligible for participating in the auction. However, this volume of coal cannot be exported.

Nevertheless, if Coal India manages to sell the entire quantity, its total volumes sold through the e-auction platform would touch around 60 million tonnes against a total volume of 79 million tonnes achieved during the whole of 2015-16.

Nevertheless, revenues from e-auction have dipped from the recent past on account of adequate coal stocks and a dipping international coal price.

In fact, during the first quarter of the current financial, despite having sold more coal, average realisation from e-auctions dipped from Rs 2,184 per tonne during the quarter ended 30, June 2015 to Rs 1,570 per tonne in the first quarter of the current fiscal leading to declining net realisation from sales – a 28% fall in realisation from e-auction.

In this auction, power companies which do not have coal supply contract with Coal India can also participate, so can non-power companies.

(Source: http://economictimes.indiatimes.com/)