07 August,2009 12:42 PM IST | | PTI
The government today said it is not considering any increase in coal prices at the moment despite the demand for a hike by state-run Coal India Ltd earlier in the day. The company also said that a moderate price hike is likely.
"No plan (to hike coal prices) yet... but can't say about the future," Coal Minister Sri Prakash Jaiswal told reporters here today. Navratna PSU Coal India today sought a hike in coal prices on the back of a decline in its retained earnings.
"Coal India has reported a sharp drop in retained earnings because of wage built annual impact. A profit of Rs 300 crore on a turnover of Rs 45,000 crore is low. We see the scope for moderate increase in coal prices," Coal India CMD P S Bhattacharya told reporters here.
He further said there is no shortage of coal for the thermal power plants. Retained earnings are that percentage of net earnings of a company that is not paid out as dividends but is retained by the company to be reinvested for the growth of the business, like investing in machinery etc.
