Lesser allocation of mines to steel, cement and captive power plants in the upcoming coal blocks auction may increase their dependence on costlier imported fuel, says rating agency ICRA.
¨The government´s immediate focus seems to be the power sector, which is reflected by the increase in the share of blocks allocated to the sector... However, the ¨non-regulated¨ sectors have been given lower allocation in coal reserves to be auctioned in the first round, which will increase their dependence on costlier outside coal,¨ ICRA said.
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