Mahanadi Coalfields Ltd – a wholly owned subsidiary of Coal India Ltd – today accused Nalco of not lifting coal allotted to the company.

The Sambalpur-based miner felt that Nalco was solely responsible for the coal shortage at its captive generation facilities. The Bhubaneswar-headquartered aluminium major allegedly held MCL responsible for not supplying adequate coal, in violation of the fuel supply agreement (FSA). The shortage had resulted lower captive generation and scaling down of production.

In a press statement issued today, MCL said while the delay in getting forest clearance had impacted coal production plan at the linked mine at Bharatpur in Talcher. The company was consistent in requesting Nalco to lift stock from other mines in the same region.

“Nalco is facing crisis due to its failure in taking cognizance of repeated requests (beginning February this year)… to ensure regular supply of rakes to lift coal (from a huge 6.5 mt pithead stock and 2.5 mt stock at railway sidings, in the Talcher region) and maintain sufficient stock for the rainy season,” the media statement said.

A MCL spokesperson later added that from April onwards the company till date supplied 96 per cent of the FSA requirements.

(This article was published on August 17, 2012)
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