Gujarat to become India’s first state to implement coal utilisation between power units

The Gujarat government has recently issued a tender for power developers to receive cheap coal marked for the state in return for selling coal-based power at less than Rs 2.82 a unit. Through the auction, Gujarat will transfer the coal allocated to power generating stations owned by Gujarat State Electricity Corporation (GSECL) to more fuel-efficient private power plants.
With this, Gujarat will become the India’s first state to implement coal utilisation between power units. The move is in line with the initiatives of the central government to ensure fuel availability to stressed power plants. The aim is to reduce the cost of fuel for financially ailing distribution companies and ensure effective distribution of domestic coal.