Directions issued to coal companies for implementation of immediate needful action for decisions undertaken in the meeting held on August 14, 2020.
Kolkata, August 26: Coal India Ltd. (CIL), has laid down the particulars of the decision taken at 237th CFDs meeting regarding waiver of performing related obligation during the pandemic period evoking the force majeure provision of the respective FSAs as a dispensation, which was held on 14.08.2020.
Approvals accorded in the meeting, as shared with subsidiaries are as following:
- The FSA consumers (both Power and non-power FSAs) shall be given an option to apply for invoking FM relief for the period Apr-May 2020 as a one-time dispensation.
- The timeline for claiming FM relief as per FSA (both Power and non-power FSAs) by the Affected Party may be waived off in view of the Pandemic situation prevailing in the country.
- Coal companies will notify a window of 10 days when the willing FSA consumers may apply for availing FM relief citing the reason of epidemic (COVID-19) for non-performance during the lockdown period, viz. April & May 2020.The relief is to the extent of prorated MSQ of April & May 2020.
- Such applicants would also request for waiver of the FSA condition for adhering stipulated timeline and also their obligations to present Burden of Proof. The seller on receipt of such applications may extend the applicable relief under FM.
- In the event the Seller is also required to declare FM for the same period, they would follow the similar procedure.
- Facility to rebook/unlifted quantity of any month in the subsequent month within current FY up to the ceiling of ACQ by the non-power FSA consumers would be permitted subject to availability of coal at coal companies as per approval of 232nd CIL CFDs meeting held on 3rd July 2020. In the event, the consumer is able to lift the scheduled quantity for April and May during rest of the year in terms of the dispensation, their application for invoking FM shall be treated as cancelled for that quantity as the intention of the coal company is to sell to the willing consumers within their eligibility.
The CIL requested the coal companies to take immediate needful actions for implementing the above-mentioned details.
