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Web Exclusive | March 2013

Chhattisgarh gets Rs 1,500 cr loss on coal deal: CAG

The Comptroller and Auditor General report tabled in the Chhattisgarh Assembly has pointed out that State Power Generation Company made a potential loss of Rs 1,549 crore due to amendment made in the tender document over payment of coal mining fee to a joint venture company.

The State Chief Minister Raman Singh tabled the CAG report in the House on Saturday. The report stated that the Ministry of Coal had allotted Parsa coal block at Ambikapur in August 2006 to the erstwhile Chhattisgarh Electricity Board, now known as Chhattisgarh State Power Generation Ltd, for captive use for its Marwa thermal power project.

Chhattisgarh State Electricity Board (CSEB) decided to explore the Parsa block through a joint venture company and invited tenders to develop, mine and transport the coal from Parsa to the project site. The joint venture was to be formed between CSEB and the bidder who would offer maximum discount on the notified price for 'F' grade (inferior and cheaper grade) coal in Parsa.

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