In the current fiscal year up to October 28, 2023, coal production in India has shown substantial growth of 12.81% compared to the corresponding period in the previous year. This remarkable increase in production is attributed to various factors, including an 11.90% growth in Coal India Limited (CIL), a 7.82% increase in the Singareni Collieries Company Limited (SCCL), and a substantial 20.94% growth in captive and commercial mines. The overall coal supply has also surged, showing an impressive 11.70% increase, with the supply to the power sector registering a noteworthy growth of 7.87% compared to the same period last year.
To facilitate this growth, the Ministry of Coal has proactively taken steps to enhance coal production in companies with efficient evacuation logistics, particularly through railways, which includes the recently commissioned Dedicated Freight Corridors. This initiative has led to significant production growth in companies such as Eastern Coalfields Limited (ECL), Bharat Coking Coal Limited (BCCL), Central Coalfields Limited (CCL), and Western Coalfields Limited (WCL), recording growth rates of 18.70%, 17.60%, 13.90%, and 18.00%, respectively.
Following unprecedented rainfall in coal-producing states during early October, coal production has rebounded significantly in the past 15 days, with a daily production volume of over 26.40 lakh tonnes.
As of October 28, 2023, the cumulative coal stock across Coal India Limited (CIL), SCCL, captive mines, and coal supply in transit has reached 53.23 million tonnes, marking a remarkable 42.32% increase compared to the same period last year.
In addition, during this period, the consumption of imported coal for blending purposes has seen a substantial decline. Imported coal consumption for blending has reduced to 13.5 million tonnes, representing a 35% decrease from the 20.8 million tonnes consumed during the corresponding period last year.
Furthermore, the trend in coal stocks at thermal power plants has shifted, with the last 10 days showing an increase in coal stockpiles, indicating that the supply and receipt of coal at thermal power plants have exceeded consumption. This change reflects a positive development in maintaining stable coal reserves.
Typically, coal production and transportation are lower in the first half of the year due to summer and monsoon conditions. However, after the monsoon period, production and transportation conditions improve, leading to higher coal supply in the second half of the year, resulting in stockpiling at power plants and mines’ pitheads.
The Ministry of Coal remains dedicated to ensuring an adequate coal supply and collaborates closely with the Ministry of Railways and the Ministry of Power to achieve this objective.
