Union Power Minister Veerappa Moily on Tuesday said Coal India Limited (CIL) had agreed to sign the fuel supply agreements (FSAs) even with those power companies which had not signed the power purchase agreements (PPAs) till date.

Stating that most of the issues pertaining to fuel supply have been sorted out with the Coal Ministry as well as CIL, Mr. Moily said at the Editor’s Conference here that this had been achieved during the meetings with the Coal Minister, Sriprakash Jaiswal, and Coal Secretary.

Power Secretary P. Uma Shankar said even if the PPA between power generator and distribution companies was not signed by a power generator, the FSA still could be signed with CIL. However, he said power companies had to furnish PPA at the time when fuel supply from CIL started.

Mr. Moily said the Southern Grid would be connected to the National Grid by December 2013, thereby providing a uniform flow of electricity across India.He also said that the Planning Commission had approved budget support for the Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) scheme in the XII Plan. The estimated requirement of budget support is Rs.49,730 crore. The government planned to add 18,000 MW during the current financial year, he said.

Referring to the ultra mega power projects, Mr. Uma Shankar said the commissioning of the first 660 MW unit of Sasan UMPP in Madhya Pradesh was on schedule and would be commissioned by the beginning of next year.

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