The Government has readied plans to tackle issues in the power sector, but announcements will be made once the model code of conduct ends, Piyush Goyal, Minister of State (Independent Charge) Power, Coal and New and Renewable Energy, assured power producers here on Friday.

“The country’s energy future is safe and secure. There is no need for the industry to worry. We have been working on various issues but we can only start announcing them once the model code of conduct is lifted on October 19,” said Goyal, after the fifth meeting of Energy Ministers from South Asian Association for Regional Cooperation (SAARC) member countries.

“Banks have the confidence in the Government. We have assured them there is nothing to worry,” he added.

According to sources in the Power Ministry, over the past month officials have been working on issues like rationalising coal linkages and providing the fuel linkage to power plants, bringing amendments to the Electricity Act and Tariff Policy, setting up a National Smart Grid and other issues related to strengthening of transmission lines.

“We have been working aggressively on coal linkage rationalisation and recently the first linkage swap was agreed between Gujarat Government and NTPC, which is expected to save ₹350 crore,” said Goyal.

On the issue of low coal stocks at power plants, the Minister said stocks were low due to higher power generation and stagnant coal production over the last four years.

“As I have said before, we are also taking steps to increase coal production and evacuate the fuel in a more efficient manner,” he added.

As per data from the Central Electricity Authority, on October 15, around 73 plants out of 103 had critical or less than seven days of coal stocks. This includes around 4-5 new plants and those without power purchase agreements.

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