November 7, 2016

Interview: CIL Divestment & Gas Pooling

Power minister Piyush Goyal tells CNBC-TV18 that Coal India  divestment will not take place in December, but could be in the new year. He adds that Coal India has detailed plans for ramp-up of its production. On gas price pooling, he says that the government will have to work out the economics and though the idea is under consideration, it has very small significance in the overall scheme of things. Below is the verbatim transcript of Piyush Goyal’s interview with CNBC-TV18’s Shereen Bhan.

Q: On Coal India divestment

A: Coal India itself has very detailed plans for the ramp up of its production going up to a billion tonne by 2019. We have very credible plans which have been worked upon with great sincerity and credible plans which will be unfolded in the next few days. Then once our plans are unveiled, the market also will recognise our efforts of taking this to a billion tonne. And this is December, usually no issue opens up in December. It is that period of the year when the world is kind of on a break or sabbatical. I am sure in the new year you’ll hear active movement in disinvestment, there’s absolutely no effort to put it on the backburner. Gas pooling is one such idea which is also under consideration. In any case the gas prices have come down quite significantly and the trend seems to suggest that it will go down further. So in any case, that’s not something which is going to very significantly impact power prices.

Q: Like coal, even gas price pooling is not a priority at this point of time?

A: We may do it. It depends, we will have to work out the economics, but now it has a very small significance in the overall scheme of things.

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