Coal stocks dip on short supply, higher power generation

New Delhi: The CMD of Coal India Limited asserted that the Thermal Power Plants had earlier regulated and reduced their coal intake and presently the production in the coal companies and offtake from them is sporadically restrained on account of excessive rainfall.

However, there has been a sudden increase in coal-based power generation, which has resulted in dwindling coal stock at the TPPs.

A review meeting was called on Wednesday by the Coal Secretary Susheel Kumar over the Thermal Power Plants (TPPs) in the country and the meeting was attended by the CMD CIL and all CMDs of the subsidiary companies of CIL.

During that meeting Kumar asserted that there has been a growth of 17.8 per cent in coal offtake in August, 2017 as compared to August, 2016. While, Kumar also stated that the overall cumulative growth in coal offtake is 7.2 per cent in the current year corresponding to the same period last year.

The ministry official statement also mentioned, "There has been growth of 17 per cent in coal based thermal power generation, this is primarily on account of reduction in hydro power generation by 12 per cent, in nuclear power generation by 36 per cent and others by 7 per cent in August, 2017 over August, 2016."

To meet the emergent situation of coal supply, the Secretary of Ministry of Coal asked CIL to increase the rakes to 250 per day for coal supply through railways.

In addition, the ministry of railways has also been requested to position these rakes in consultation with CIL subsidiaries. For every power plant, one subsidiary of CIL has been assigned the role of lead company.

The lead company shall be responsible to monitor and ensure that the power plants linked to it are out of criticality, the statement added.

"The offer of coal on 'as is, where is' basis shall be made by CIL to all the power plants. CIL shall also request ministry of power to direct the pithead TPPs to augment coal supplies through this route," the statement said.

A control room would also be set up at CIP to monitor the coal supply position to the TPPs on 24x7 basis.