Daily Coal Supply is more than Consumption

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Ministry of Coal
Ministry of Coal

As of October 21, 2023, coal production in India has shown significant growth during the current financial year, with a 12.73% increase compared to the same period the previous year. This growth is attributed to various sectors, including Coal India Ltd (CIL), SCCL (Singareni Collieries Company Ltd), and captive and commercial mines.

  • Coal India Ltd (CIL) has seen a production growth of 11.80%.
  • SCCL’s production growth stands at 8.45%.
  • Captive and commercial mines have experienced a substantial growth rate of 20.50%.

Additionally, the total coal stock in the country, including coal at mine pitheads, transit points, and thermal power plants, has reached 71.35 million tonnes (MT) as of October 21, 2023. This figure is significantly higher, with an 18.05% increase compared to the same period in the previous year, which had a total stock of 60.44 MT.

Notably, coal imports have decreased during this period, from 20.8 MT in the previous year to 13.5 MT, representing a 35% reduction, primarily for blending purposes.

The recent surge in coal production comes after a period of heavy rainfall in coal-producing states during early October. Production has picked up over the last ten days, with a daily output of over 26.57 lakh tonnes per day, significantly higher than usual. Coal stocks at thermal power plants have begun to trend upward, with daily supply now exceeding average daily consumption.

Typically, coal stocks at pitheads and thermal power plants decline during the first half of the year due to summer and monsoon conditions. However, in the second half of the year, conditions become favorable for production, resulting in a buildup of coal stock at power plants and mine pitheads. Despite the high demand for power, the Ministry of Coal has ensured the availability of adequate coal at all thermal power plants in the country.

To ensure normal coal production during the festival season, the Ministry of Coal has implemented a strategy that involves offering higher wages to contractual workers during the season. This initiative resulted in a coal production of 21 lakh tonnes by CIL on Maha Astmi, equivalent to any normal day.

The Ministry of Coal has set a target to achieve a closing stock of 40 million tonnes at pithead plants of thermal power and more than 75 million tonnes at the mine end as of March 31, 2024. The ministry is dedicated to ensuring the adequate availability of coal and closely coordinates with the Ministries of Railways and Power.

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