Indian Defense
Saif
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Adani suspected of fraud by selling low-grade coal as high-value fuel to Indian state firm
Reports Financial Times
Adani suspected of fraud by selling low-grade coal as high-value fuel to Indian state firm
Reports Financial Times
Adani Group passed off low-quality coal as far more expensive cleaner fuel in transactions with an Indian state power utility, according to evidence seen by the Financial Times that throws fresh light on allegations of a long-running coal scam.
The documents, secured by the Organized Crime and Corruption Reporting Project (OCCRP) and reviewed by the FT, add a potential environmental dimension to accusations of corruption associated with the Indian conglomerate. They suggest that Adani may have fraudulently obtained bumper profits at the expense of air quality since using low-grade coal for power means burning more of the fuel.
Invoices show that in January 2014 Adani purchased an Indonesian shipment of coal said to contain 3,500 calories per kilogramme. The same shipment was sold to the Tamil Nadu Generation and Distribution company (Tangedco) as 6,000-calorie coal, one of the most valuable grades. Adani appears to have more than doubled its money in the process, after transport costs.
The FT has also matched documentation for a further 22 shipments in 2014 involving the same parties that indicate a pattern of grade inflation in the supply of 1.5 million tonnes of coal.
Adani sourced the coal in Indonesia from a mining group known for its low-calorie output, at prices consistent with low-grade fuel. It delivered the coal to India's southernmost state for power generation, fulfilling a contract that specified expensive high-quality fuel.
More than 2 million people are killed in India each year by outdoor air pollution, according to a 2022 study in The Lancet, while other studies found significant increases in child mortality for hundreds of miles around coal-fired power plants.
Another study a decade ago found that coal-fired power plants, which supply about three-quarters of India's electricity, accounted for roughly 15 percent of the country's man-made emissions of fine particulate matter, 30 percent of nitrogen oxide and 50 percent of sulphur dioxide.
To read the rest of the news, please click on the link above.
Reports Financial Times
Adani Group passed off low-quality coal as far more expensive cleaner fuel in transactions with an Indian state power utility, according to evidence seen by the Financial Times that throws fresh light on allegations of a long-running coal scam.
The documents, secured by the Organized Crime and Corruption Reporting Project (OCCRP) and reviewed by the FT, add a potential environmental dimension to accusations of corruption associated with the Indian conglomerate. They suggest that Adani may have fraudulently obtained bumper profits at the expense of air quality since using low-grade coal for power means burning more of the fuel.
Invoices show that in January 2014 Adani purchased an Indonesian shipment of coal said to contain 3,500 calories per kilogramme. The same shipment was sold to the Tamil Nadu Generation and Distribution company (Tangedco) as 6,000-calorie coal, one of the most valuable grades. Adani appears to have more than doubled its money in the process, after transport costs.
The FT has also matched documentation for a further 22 shipments in 2014 involving the same parties that indicate a pattern of grade inflation in the supply of 1.5 million tonnes of coal.
Adani sourced the coal in Indonesia from a mining group known for its low-calorie output, at prices consistent with low-grade fuel. It delivered the coal to India's southernmost state for power generation, fulfilling a contract that specified expensive high-quality fuel.
More than 2 million people are killed in India each year by outdoor air pollution, according to a 2022 study in The Lancet, while other studies found significant increases in child mortality for hundreds of miles around coal-fired power plants.
Another study a decade ago found that coal-fired power plants, which supply about three-quarters of India's electricity, accounted for roughly 15 percent of the country's man-made emissions of fine particulate matter, 30 percent of nitrogen oxide and 50 percent of sulphur dioxide.
To read the rest of the news, please click on the link above.
