The Central Electricity Regulatory Commission (CERC) has announced the monthly escalation rates for imported coal used in power generation for March 2024. These rates were published on April 16, 2024.
These rates impact the cost of electricity purchased by distribution licensees, ultimately affecting consumer bills.
The changes in rates for import of coal for March 2024 for the purpose of payment for Procurement of Power by Distribution Licensees are as follows:
- Cost of coal: The cost of imported coal has seen a slight decrease of 0.56%.
- Transportation: However, the cost of transporting imported coal has increased by 5.19%.
- Inland Handling: The cost of handling imported coal within India has also decreased by 0.61%.
Additionally, the combined effect of these changes will depend on the specific terms of power purchase agreements (PPAs) between distribution licensees and power generation companies.
