New Delhi Jindal Power continues to sell electricity from its Tamnar power plant on a merchant basis, ignoring the coal ministry’s recent directive that stipulates that power plants running on captive coal must not quote a higher price for power supply in tariff bidding than those offered by generating stations based on fuel linkage from Coal India.

JPL, a subsidiary of Jindal Steel and Power, has quoted a R5.27-a-unit price to supply power to APCDPCL, an Andhra Pradesh discom, from its Tamnar plant based on captive coal, compared with R4.29 and R4.4 a unit offered by KSK Mahanadi and Corporate Power plants running on coal supplied by CIL under long-term linkage, according to industry sources.