NTPC, Coal India settle differences over FSA

Power generator National Thermal Power Corporation and coal producer CIL seem to have finally settled their differences over the fuel supply agreement (FSA) and said a pact would be be signed in a month, PTI reports.

NTPC CMD Arup Roychoudhury who met Coal India chief S Narsing Rao in Kolkata, said the issues had been discussed threadbare and many of the issues had could be thrashed out. He added the FSAs' could be signed very soon possibly, in a month's time.

The two PSUs had differed over the FSA, with the main differences being minimum supply level and quality of the coal.

There were also differences on the issue of signing different FSAs in case of multiple units of the same plant.

In response to queries, Rao, who had been present during Roychoudhury's media briefing, said there would be no change to the draft of the FSA, which could mean that the NTPC might have to scale down its demands.

PTI quoted sources as saying that NTPC was not happy with signing two sets of FSAs for plants in brownfield capacity expansion. According to sources, Coal India had agreed to look into the issue on a case-to-case basis.