Centre helps Karnataka with coal-swap, power generation to cost less

Union Coal & Mines Minister Pralhad Joshi on Tuesday announced that the State-owned Karnataka Power Corporation (KPCL) can now generate power at a cheaper cost as it can now source coal from Western Coalfields Limited (WCL) instead of Mahanadi Coal Fields as it has been doing.

The Coal Ministry has swapped the entire coal linkage of KPCL from Mahanadi Coal Fields to Western Coalfields.

"As a result of this swapping, KPCL can now source 26.46 lakh metric tonnes of coal a year from Western Coalfields which is closer, the minister tweeted.


This will save the KPCL about Rs 265 crore a years, the union minister said. The swapping will help Karnataka's power utilities provide electricity round the clock, Joshi added.

Mahanadi has Coalfields are spread across Odisha, while , while Western Coalfields operation area fall in Maharashtra and Madhya Pradesh.