State-run coal behemoth Coal India on Friday said it is offering more coal and greater operational flexibility to non-regulated sector (NRS) consumers in a series of business-friendly initiatives.
In a bid to reduce import dependence of high GCV coal, normally consumed by the sponge iron sector, CIL has put on offer an all-time high of 35 million tonnes (MTs) of coal under the linkage auction window to be held on June 12, the company said in a stock exchange filing. Bookings by these units is expected to lower imports in this grade of coal.
Agreeing to the demand of the steel (coking) sub-sector, Coal India has allowed them to sell coal middlings in the open market. Middlings are power grade coal that are residual byproducts of washed raw coking coal. Some steel plants use middlings for their captive power plants. For those quantities which are not used, this sub-sector has been permitted for its sale. “This provision was enabled under the ongoing tranche-X linkage auctions that began on June 3.
CIL has offered 13.75 million tonnes (mt) of coal to the steel (coking) sub-sector in the current tranche, while also permitting the change of consortium partners over the duration of the linkage period,” the company said, adding that earlier they had the option of changing the partners twice during the contract, which is now increased to five.
NRS consumers planning to establish a greenfield or a brownfield project are allowed to secure coal linkages even as the projects are yet to be commissioned. They can source coal within three years after the participation in the linkages, which enables them to secure bank loans as fuel sourcing is tied up with this. It gives them greater leverage in the market. Alongside, the requirement of linkages for the power sector under different auction windows are being met. From January till May, a total of 57.8 mt of coal was offered under window-II for short-term, while the long/medium term offer under window was 69.2 mt.
CIL said it continues to meet the coal requirements of the power sector. “As a natural occurrence, coal stock levels tend to shrink at coal-fired plants, fuelled by peak summer demand. Therefore, marginal decline in coal stocks at power plants is not a cause for concern, as sustained coal production by CIL is ensuring continuous replenishment of fresh stocks,” it said.
To make more coal available in the market, the company will conduct the next round of short-term auctions under SHAKTI policy on June 8 for power sector consumers, where around 34 mt of coal would be put on the block. “CIL’s efforts are aligned toward greater coal availability to the power sector and NRS,” it added.
Published on June 5, 2026
