The Ministry of Coal is migrating to Gross Calorific Value , GCV, based grading system for non-coking coals from the existing Useful Heat Value ,UHV based system with effect from 1st of next month . An official release said, the proposed new system of grading will create a win-win situation for both the coal consumer and producer by incentivizing improvement in quality resulting in better quality of coal to the consumer and commensurate realization for the coal companies.
The system is being introduced based on the recommendations of the Integrated Energy Policy Committee and the Expert Committee on Road Map for Coal Sector Reforms. The new system is not likely to lead to any significant change in the pricing.