Overview

• From August 1, 2025, thermal power plants with Coal India linkage coal can sell un-requisitioned surplus electricity in open exchanges under updated SHAKTI provisions.
• The change covers all existing and future long and medium-term fuel supply agreements for central and state gencos as well as independent power producers.
• Market analysts anticipate that increased surplus supply on exchanges will cap spot electricity rates and improve affordability.
• Coal India’s August 2024 removal of the 120% Annual Contracted Quantity cap continues to bolster fuel security by allowing plants to procure additional coal.
• For fiscal 2025–26, Coal India has committed around 650 million tonnes of coal under fuel supply agreements to support expanded market access and stimulate demand.