New Delhi: The Union Cabinet on Thursday approved recommendations of a group of ministers relating to stressed powerprojects including grant of coal linkage for short-term power purchase agreements (PPAs). The decision was taken by Cabinet Committee on Economic Affairs. 

Finance Minister Arun Jaitley said the recommendations approved include grant of coal linkage for short-term PPAs, allowing existing coal linkage to be used in case of termination of PPAs due to payment default by distribution companies and procurement of bulk power by a modal agency against pre-declared linkages. 

Central/state generation companies may act as aggregator of power.