Regarding:  Revision in reserve price to be applicable for Forward e-Auction.

i)    The reserve price under Forward e-Auction should be the notified price of all the grades of coal plus 60% of the notified price of coal irrespective of whether the mine is running in profit or loss. For each company, the reserve price of a particular grade of coal having same notified price shall be the same for profit-making and loss-making mines.

ii)    Together with the loss-making mines, the profit-making mines, having Surplus stock of at least 15 days production should also be considered as the sources of supply of coal under Forward e-Auction. The offer for Forward e-Auction from such mines should, however, be made only after ensuring that the normal dispatch to consumers under FSA remains unaffected. The mode of dispatch from the mine shall be determined by each coal company.

iii)    Other terms and conditions of the extant Forward e-Auction scheme shall remain unaltered.

iv)    The proposed change at (i) & (ii) above will be effective from 01.09.2010.