Coal India fined $290 million by competition regulator CCI
MUMBAI (Reuters) - The competition regulator has imposed a fine of 17.7 billion rupees on state-run miner Coal India(COAL.NS) for abusing its dominant position and imposing unfair conditions in fuel supply agreements with customers.
The Competition Commission of India (CCI) on Tuesday issued a "cease and desist order" to the state miner and directed it to modify clauses in its fuel supply contracts related to sampling and testing, transportation charges, and compensation on supply of stones.
Officials at Coal India, the world's largest coal miner by output, were not immediately available for comment.
The company, which accounts for 80 percent of India's coal output, changed its pricing system last year, allowing it to charge higher prices from some customers. However, it still sells domestic coal at discounts of between 45 and 70 percent to international prices.
The CCI had launched a probe earlier this year after complaints from state utilities Maharashtra State Power Generation Co. and Gujarat State Electricity Corp against the miner and its units.
(Reporting by Prashant Mehra; Editing by Sunil Nair)
- Tweet this
- Share this
- Digg this
Trending On Reuters
A brief meeting between India's Prime Minister Narendra Modi and his Pakistani counterpart appears to have salvaged a summit of South Asian leaders, with all eight countries clinching a last-minute deal to create a regional electricity grid. Full Article