Miffed at the Coal India (CIL) board’s recent decision to set a low penalty level under the fuel supply agreements (FSAs) with power plants, private power producers are planning to again approach the Prime Minister’s Office (PMO). What CIL would pay if it fails to supply the entire additional quantity of coal to the power sector is a paltry Rs 77 lakh annually.

After last month’s presidential directive to the world’s largest coal producer, its board on Monday agreed to sign new FSAs with power companies at an 80 per cent commitment level.