Inadequate supply of domestic coal amid rising trend of power demand: Power Ministry

Referring to a recent communication from the government where it was stated that the Ministry of Coal is committed to ensuring adequate availability of Coal and is in close coordination with the Ministry of Railways & Power, AIPEF chairman Shailendra Dubey said that there is a vast communication gap between the three ministries.

New Delhi: Admitting that there is an inadequate supply of domestic coal amid the rising trend of power demand, the Power Ministry has asked all State governments, UTs and power producers for timely import of coal for blending purposes and maximising production in captive coal mines.

In a communication with the State government, UTs and all power generating authorities, the Power Ministry said that the status of the power supply position has been reviewed by the government and it has been observed that there is a consistent rising trend in the power demand in the country coupled with an inadequate supply of domestic coal, which has resulted in rapid depletion of coal stocks at domestic coal-based (DCB) plants across the country.

"The gap between receipt of domestic coal and consumption of coal during September 1 to October 9, 2023, was to the time of 12 Metric tonnes (MT)," the letter from the Power Ministry in possession of ETV Bharat said. About 11 per cent fall in hydro generation has been recorded in H1 of the Financial year 2024 compared to the corresponding period of FY 23 due to variable monsoon rainfall, the ministry informed.

"Approximately 2GW of hydro capacity is out because of recent floods in Sikkim. The reservoir levels in the Northern, Eastern and Southern regions are less compared to the previous year as of October 9, 2023, which has resulted in lower reservoir energy content at the pan-India level. This has put an additional burden on coal-based thermal generation," the ministry said in its communication.

Therefore, in order to ensure uninterrupted power supply across the country, it has been decided blending of imported coal at a six per cent (by weight) minimum may be continued till March 2024, the ministry said. "The Gencos may continuously review their stock position and opt for blending as per the requirements of the shortfall in domestic coal supply is more than 6 per cent," the ministry said.

Meanwhile, the All India Power Engineers Federation (AIPEF) has demanded the government roll back its directives to import coal. The federation has said the Central government should take responsibility for importing coal.

Referring to a recent communication from the government where it was stated that the Ministry of Coal is committed to ensuring adequate availability of coal and is in close coordination with the Ministry of Railways and Power, AIPEF chairman Shailendra Dubey said that there is a vast communication gap between the three ministries.

On Monday, the Central government said that a strategy is in place to ensure normal production during festival season with the Coal Ministry working in close coordination with the Railways and Power Sector.