India's NTPC to import 2 million tons of coal annually from Indonesia

India's National Thermal Power Corp. says it plans to import 2 million tons of coal annually from Indonesia, UPI reported Monday.

The state-run power-generation giant is also exploring the possibility of buying stakes in Indonesian firms to ensure an uninterrupted supply of coal, The Business Line newspaper said Monday.

The decision follows Tata Power's move to not acquire stakes in PT Kaltim Prima Coal and PT Arutmin, two major Indonesian thermal coal producers. The two Indonesian companies say they could allow Indian companies to buy 10.1 million tons of coal regularly till 2021.

The import of coal from Indonesia is part of NTPC's target to produce 50 million tons of coal by 2017, a Coal Ministry official said.

NTPC recently sent three high-level delegations to explore the possibility of acquiring coal stakes in Indonesia, South Africa and Australia.

An NTPC spokesman said the company was keen to invest in coal blocks overseas to tide over domestic fuel shortages. It has also pitched for a large number of coal blocks owned by monopolist Coal India Ltd in India.(*)