Power sector dues to CIL increases by 4.5% to Rs 12,819 cr in April

18 May 2022 CW Team

The outstanding dues to state-run Coal India Limited (CIL) from the power sector increased by 4.5% month-on-month to Rs 12,819.41 crore in April 2022.

Outstanding dues to the coal miner decreased by 18% in March this financial year (FY) from Rs 15,037.32 crore in February 2022. This is the lowest dues for the month in the last four years.

The average price of coal production by CIL is Rs 1,310.88 per tonne. In the past several years, the lowest dues were recorded at the end of March 2019 at Rs 8,435.19 crore.

In April 2022, coal production by CIL increased 27.6% year-on-year (YoY) to 53.47 million tonnes (mt), while offtake increased 6% to 57.50 mt during the same period. Coal despatch to the power sector by the Public Sector Undertakings (PSU) miners was also higher on an annual basis by 15.5% at 49.72 mt last month.

The FY22 started with the power sector’s dues dropping by 4% to Rs 20,837.62 crore in April 2021 compared to March 2021. In the complete FY22, the power sector dues have dropped consistently.

The dues dropped from the April 2021 numbers to Rs 16,028.41 crore at the end of the first half of the fiscal year in September 2021. At the end of October 2021, the dues dropped to Rs 14,598.58 crore, after which they increased to Rs 15,243.36 crore in November 2021. Further, they dropped in December 2021 to Rs 15,088.42 crore, in January 2022 to Rs 15,097.01 crore, and also in February 2022 to Rs 15,037.32 crore.

The sales dues are constantly observed by CIL, and regular follow-ups are done with consumers for early recovery. The PSU has also created an online bill-to-bill reconciliation portal via which online reconciliation will be carried out, and dues will be monitored and realised in a better manner.

CIL is also providing bilateral meetings to resolve commercial disputes and has ordered coal firms that matter, where commercial disputes cannot be settled bilaterally, may be directed to Administrative Mechanism for Resolution of CPSE Disputes (AMRCD).

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Also read: Coal mines to expand 50% without environment impact assessment

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The outstanding dues to state-run Coal India Limited (CIL) from the power sector increased by 4.5% month-on-month to Rs 12,819.41 crore in April 2022. Outstanding dues to the coal miner decreased by 18% in March this financial year (FY) from Rs 15,037.32 crore in February 2022. This is the lowest dues for the month in the last four years. The average price of coal production by CIL is Rs 1,310.88 per tonne. In the past several years, the lowest dues were recorded at the end of March 2019 at Rs 8,435.19 crore. In April 2022, coal production by CIL increased 27.6% year-on-year (YoY) to 53.47 million tonnes (mt), while offtake increased 6% to 57.50 mt during the same period. Coal despatch to the power sector by the Public Sector Undertakings (PSU) miners was also higher on an annual basis by 15.5% at 49.72 mt last month. The FY22 started with the power sector’s dues dropping by 4% to Rs 20,837.62 crore in April 2021 compared to March 2021. In the complete FY22, the power sector dues have dropped consistently. The dues dropped from the April 2021 numbers to Rs 16,028.41 crore at the end of the first half of the fiscal year in September 2021. At the end of October 2021, the dues dropped to Rs 14,598.58 crore, after which they increased to Rs 15,243.36 crore in November 2021. Further, they dropped in December 2021 to Rs 15,088.42 crore, in January 2022 to Rs 15,097.01 crore, and also in February 2022 to Rs 15,037.32 crore. The sales dues are constantly observed by CIL, and regular follow-ups are done with consumers for early recovery. The PSU has also created an online bill-to-bill reconciliation portal via which online reconciliation will be carried out, and dues will be monitored and realised in a better manner. CIL is also providing bilateral meetings to resolve commercial disputes and has ordered coal firms that matter, where commercial disputes cannot be settled bilaterally, may be directed to Administrative Mechanism for Resolution of CPSE Disputes (AMRCD). Image Source Also read: Coal mines to expand 50% without environment impact assessment

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