We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Friday, 23 October 09
CIL PRICE HIKE LIKELY TO PUSH POWER RATES UP
 Business-Standard reported that, May squeeze cement companies’ margins, but the steel sector is unlikely to be affected much.
The upward revision of coal prices by government-owned Coal India Limited (CIL), which took place last week, is likely to have a divergent impact on the fossil fuel’s primary consumers such as cement, power and steel sectors. While cement makers’ margins will be under pressure, power producers will make a move to pass on the increased burden to consumers.The three sectors account for about 72 per cent of the total coal demand in the country.
On October 16, CIL increased the price of coal from Eastern Coalfields (ECL) and Bharat Coking Coal (BCCL) by 15 per cent, while all other subsidiary companies were permitted a hike of 10 per cent. This price increase is expected to swell CIL’s net profit by approximately Rs 2,000 crore this financial year and by about Rs 4,100 crore in the following year.
However, for the consuming sectors, especially the cement industry, the increase in coal prices will squeeze profit margins at a time when prices are already low due to rapid capacity augmentation.
Despite the fact that coal accounted for around two-thirds of the power and fuel cost, and 20 per cent of the total cost for cement manufacturers, firms would be unable to pass on the hike in coal prices to end users due to the current business environment, a report by Crisil Research suggested.
“The recent coal price hike will increase the cost of cement by Rs 3-4 a bag. However, this has been absorbed by manufacturers in the short-term. In the long run, though, if conditions are right, we could pass on the cost,” Cement Manufacturers Association President and Shree Cement Managing Director HM Bangur said. For the power sector, though, the impact of the upward revision of coal prices would be neutral, as the rise in cost of fuel would be passed on by the generators.
On an average, tariffs of power plants using domestic coal as fuel are expected to increase by 3-4 per cent. In rupee terms, the tariffs are expected to increase on an average by Rs 0.06 a unit. The rise is expected to increase the tariffs for final power consumers as the price hike will be passed on, the Crisil report further stated.
With the respective regulatory authorities of each state overseeing power tariffs, generators would first have to ascertain the increase in input costs and then approach the regulator for approval.
However, with the coal mixture of each generator differing, the choice being between CIL coal and that of the imported variety, it would take sometime before power utilities decide on the actual magnitude of the increase in tariff. “But 100 per cent, we will have to pass on the cost,” an official from the RPG’s power utility CESC said.
As for the steel industry, the Crisil report indicated that the coal price hike by CIL was not expected to have a significant impact on the steel industry as non-coking coal, which was primarily used by the sector, did not account for a significant portion of the total cost of steel manufacturing, except for steel made through the sponge iron route. Moreover, the dependence of domestic steel producers on CIL is only 25-35 per cent of their total requirement due to the availability of captive mines and imports. But Visa Steel Chairman and President of the Indian Chamber of Commerce Vishambhar Saran said the ex-pit head prices of CIL were already comparable to international prices, barring the freight factor cost. “The cost of setting-up a plant is higher if one is to use domestically available coal as compared to imported coal. This is because the former is of inferior quality and consequently extra costs such as ash disposal must be counted into the total project cost,” he added.
Source: Business-Standard
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Tuesday, 21 July 09
FIRST QUARTER COAL MARKET AND EURACOAL'S OUTLOOK FOR THE FUTURE
Euracoal reports that for the first time in many years, the world market for hard coal fell by some 8 % during the first quarter 2009. This latest E ...
Monday, 20 July 09
CHINAS COAL DEMAND, OUTPUT TO PICK UP IN H2 - GROUP 2
Financial24 reported that, China's coal demand is expected to gradually pick up in the second half of the year, and coal output will likely grow fa ...
Monday, 20 July 09
ADANI POWER LAUNCHES IPO, AIMS HIGHER CAPACITY
Economic Times reported that, Adani Power Ltd, a power project development company, promoted by Adani Enterprise went for an initial public offering ...
Monday, 20 July 09
BANPU'S SECOND-HALF PROFIT MAY DROP ON COAL PRICES
Bloomberg Reported that, Banpu Pcl, Thailand’s biggest coal producer, expects profit to decline in the second half from the first six months a ...
Monday, 20 July 09
CHINA COAL PRODUCES 52.7 MLN TONNES OF COAL IN 1H, UP 5.4 PCT
China Mining reported that, China Coal Energy Co., the country's second largest coal producer, said Saturday that it produced 52.67 million tonnes ...
|
|
|
Showing 6581 to 6585 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Attock Cement Pakistan Limited
- Electricity Authority, New Zealand
- Electricity Generating Authority of Thailand
- Barasentosa Lestari - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Maheswari Brothers Coal Limited - India
- Siam City Cement PLC, Thailand
- Price Waterhouse Coopers - Russia
- Malabar Cements Ltd - India
- Indo Tambangraya Megah - Indonesia
- Ambuja Cements Ltd - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- New Zealand Coal & Carbon
- Oldendorff Carriers - Singapore
- Siam City Cement - Thailand
- Vedanta Resources Plc - India
- LBH Netherlands Bv - Netherlands
- Deloitte Consulting - India
- Indika Energy - Indonesia
- Bangladesh Power Developement Board
- PowerSource Philippines DevCo
- Banpu Public Company Limited - Thailand
- Star Paper Mills Limited - India
- Orica Mining Services - Indonesia
- The University of Queensland
- Kapuas Tunggal Persada - Indonesia
- Riau Bara Harum - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Indian Energy Exchange, India
- Sinarmas Energy and Mining - Indonesia
- Grasim Industreis Ltd - India
- Lanco Infratech Ltd - India
- White Energy Company Limited
- Therma Luzon, Inc, Philippines
- Toyota Tsusho Corporation, Japan
- Alfred C Toepfer International GmbH - Germany
- The State Trading Corporation of India Ltd
- Gujarat Mineral Development Corp Ltd - India
- Parliament of New Zealand
- Kobexindo Tractors - Indoneisa
- Kepco SPC Power Corporation, Philippines
- Krishnapatnam Port Company Ltd. - India
- Indogreen Group - Indonesia
- Commonwealth Bank - Australia
- Wood Mackenzie - Singapore
- International Coal Ventures Pvt Ltd - India
- Port Waratah Coal Services - Australia
- Makarim & Taira - Indonesia
- Leighton Contractors Pty Ltd - Australia
- Thiess Contractors Indonesia
- Chettinad Cement Corporation Ltd - India
- Mintek Dendrill Indonesia
- Ministry of Finance - Indonesia
- TNB Fuel Sdn Bhd - Malaysia
- Rio Tinto Coal - Australia
- Australian Coal Association
- Trasteel International SA, Italy
- Pendopo Energi Batubara - Indonesia
- Interocean Group of Companies - India
- Directorate Of Revenue Intelligence - India
- Altura Mining Limited, Indonesia
- Bharathi Cement Corporation - India
- Manunggal Multi Energi - Indonesia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Baramulti Group, Indonesia
- Parry Sugars Refinery, India
- Jindal Steel & Power Ltd - India
- Thai Mozambique Logistica
- McConnell Dowell - Australia
- Meralco Power Generation, Philippines
- Ceylon Electricity Board - Sri Lanka
- PetroVietnam Power Coal Import and Supply Company
- Neyveli Lignite Corporation Ltd, - India
- Directorate General of MIneral and Coal - Indonesia
- Kaltim Prima Coal - Indonesia
- Energy Link Ltd, New Zealand
- Tata Chemicals Ltd - India
- PNOC Exploration Corporation - Philippines
- Vizag Seaport Private Limited - India
- The Treasury - Australian Government
- Ministry of Mines - Canada
- Madhucon Powers Ltd - India
- Global Green Power PLC Corporation, Philippines
- Medco Energi Mining Internasional
- GAC Shipping (India) Pvt Ltd
- Gujarat Electricity Regulatory Commission - India
- Wilmar Investment Holdings
- Miang Besar Coal Terminal - Indonesia
- Iligan Light & Power Inc, Philippines
- Kumho Petrochemical, South Korea
- Bhushan Steel Limited - India
- Cigading International Bulk Terminal - Indonesia
- Vijayanagar Sugar Pvt Ltd - India
- Renaissance Capital - South Africa
- Africa Commodities Group - South Africa
- MS Steel International - UAE
- Merrill Lynch Commodities Europe
- Coastal Gujarat Power Limited - India
- Minerals Council of Australia
- IEA Clean Coal Centre - UK
- Petron Corporation, Philippines
- Karbindo Abesyapradhi - Indoneisa
- Gujarat Sidhee Cement - India
- Antam Resourcindo - Indonesia
- PTC India Limited - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- CIMB Investment Bank - Malaysia
- Ministry of Transport, Egypt
- Carbofer General Trading SA - India
- IHS Mccloskey Coal Group - USA
- Aditya Birla Group - India
- GMR Energy Limited - India
- Posco Energy - South Korea
- OPG Power Generation Pvt Ltd - India
- Orica Australia Pty. Ltd.
- Mercator Lines Limited - India
- Indonesian Coal Mining Association
- Marubeni Corporation - India
- Semirara Mining Corp, Philippines
- Planning Commission, India
- Karaikal Port Pvt Ltd - India
- Salva Resources Pvt Ltd - India
- South Luzon Thermal Energy Corporation
- Global Coal Blending Company Limited - Australia
- Timah Investasi Mineral - Indoneisa
- Billiton Holdings Pty Ltd - Australia
- Sarangani Energy Corporation, Philippines
- Anglo American - United Kingdom
- Formosa Plastics Group - Taiwan
- Heidelberg Cement - Germany
- Eastern Energy - Thailand
- Georgia Ports Authority, United States
- Bukit Baiduri Energy - Indonesia
- Xindia Steels Limited - India
- Sical Logistics Limited - India
- India Bulls Power Limited - India
- Dalmia Cement Bharat India
- Mercuria Energy - Indonesia
- Intertek Mineral Services - Indonesia
- Energy Development Corp, Philippines
- Sindya Power Generating Company Private Ltd
- Global Business Power Corporation, Philippines
- Globalindo Alam Lestari - Indonesia
- Central Electricity Authority - India
- Agrawal Coal Company - India
- AsiaOL BioFuels Corp., Philippines
- San Jose City I Power Corp, Philippines
- Romanian Commodities Exchange
- Aboitiz Power Corporation - Philippines
- Larsen & Toubro Limited - India
- ASAPP Information Group - India
- Straits Asia Resources Limited - Singapore
- SMG Consultants - Indonesia
- Jaiprakash Power Ventures ltd
- Eastern Coal Council - USA
- Cement Manufacturers Association - India
- ICICI Bank Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- Kideco Jaya Agung - Indonesia
- Kartika Selabumi Mining - Indonesia
- Binh Thuan Hamico - Vietnam
- Chamber of Mines of South Africa
- Economic Council, Georgia
- VISA Power Limited - India
- Mjunction Services Limited - India
- CNBM International Corporation - China
- Meenaskhi Energy Private Limited - India
- Independent Power Producers Association of India
- Power Finance Corporation Ltd., India
- Sree Jayajothi Cements Limited - India
- Kohat Cement Company Ltd. - Pakistan
- Borneo Indobara - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Videocon Industries ltd - India
- Bahari Cakrawala Sebuku - Indonesia
- Essar Steel Hazira Ltd - India
- Bank of Tokyo Mitsubishi UFJ Ltd
- Sojitz Corporation - Japan
- Savvy Resources Ltd - HongKong
- Bayan Resources Tbk. - Indonesia
- Ind-Barath Power Infra Limited - India
- SN Aboitiz Power Inc, Philippines
- Uttam Galva Steels Limited - India
- Coalindo Energy - Indonesia
- Goldman Sachs - Singapore
- Singapore Mercantile Exchange
- Bhoruka Overseas - Indonesia
- Kalimantan Lumbung Energi - Indonesia
- Bukit Makmur.PT - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Samtan Co., Ltd - South Korea
- Latin American Coal - Colombia
- Central Java Power - Indonesia
- Bulk Trading Sa - Switzerland
- Jorong Barutama Greston.PT - Indonesia
- European Bulk Services B.V. - Netherlands
- TeaM Sual Corporation - Philippines
- Standard Chartered Bank - UAE
- Petrochimia International Co. Ltd.- Taiwan
- SMC Global Power, Philippines
- Rashtriya Ispat Nigam Limited - India
- Edison Trading Spa - Italy
- GVK Power & Infra Limited - India
- Indian Oil Corporation Limited
- Simpson Spence & Young - Indonesia
- London Commodity Brokers - England
- Holcim Trading Pte Ltd - Singapore
- Semirara Mining and Power Corporation, Philippines
- Bhatia International Limited - India
- Coal and Oil Company - UAE
- Australian Commodity Traders Exchange
- Tamil Nadu electricity Board
- Metalloyd Limited - United Kingdom
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Sakthi Sugars Limited - India
|
| |
| |
|
