A senior official in the Ministry of Coal said the country’s largest miner had already initiated an exercise to rationalize coal prices across all grades based on GCV and CIL would be in a position to revise the prices before March 31.

International prices will keep fluctuating and might even go up in the future, but ensuring a rational domestic price based on GCV of supplies will ensure stable heat rate at thermal power plants. It will also protect consumers, since the electricity tariff or the end product of fossil fuel was government administered and free pricing of fuel did not economically align with an end product that is administered, the official said.