GVK Power ties up with Indian Railways

New Delhi: GVK Power has entered into a long term agreement with the Indian Railways for the transportation of coal for its upcoming 540 Mw thermal power plant at Goindwal Sahib in Punjab.

According to the agreement, the Indian Railways will supply 52-55 rakes for transporting 2.528 million tonnes of coal per annum from GVK’s coal fields located at south Karanpura in Jharkand.

GVK will be paying an additional 5 per cent of the freight charges on each tonne of coal loaded up to annual scheduled quantity of 2.52 million tonnes.

Moreover, the company will also pay a bonus of 5 per cent of the freight charges on the additional quantity actually transported over and above 95 per cent of annual scheduled quantity.