Coal imports by the power sector rose 84 per cent y-o-y last month as thermal power plants (TPPs) imported the critical commodity at 6 per cent of their total consumption.
However, imports were down by 21 per cent on a monthly basis as more supplies of the critical commodity were made available by Coal India (CIL) and Singareni Collieries Company (SCCL).
According to the latest numbers, TPPs imported 5.9 million tonnes (mt) in November 2023, compared to 7.5 mt in October 2023 and 3.2 mt in November 2022.
Sources said that the higher imports are also due to the Power Ministry’s mandate of importing higher quantities at 6 per cent from 4 per cent earlier. The direction was given after power demand rose substantially.
Imports to decline
Imports by the world’s second-largest importer of seaborne coal have started to decline in line with the seasonal (October–March) upturn in domestic supply and reduced power demand as temperatures fall, which is also supporting restocking at TPPs.
Coal supply by mining PSUs stood at 67.7 mt in November 2023, compared to 65.5 mt in October 2023 and 60.6 mt in November last year.
During the April-November period of FY24, domestic supply rose by 9 per cent y-o-y to 514.7 mt. However, coal imports during the same period fell by 2 per cent to 41.2 mt.
According to the energy intelligence firm Kpler, India imported a total of 17.51 mt of thermal coal, lower than the 15-month high of 18.66 mt recorded in October 2023.
Kpler expects coal imports to decline in December on a monthly basis.
“With domestic supply expected to climb in December, we expect a further m-o-m fall in seaborne thermal coal imports this month; however, shipments should still exceed the year-ago level in December and into Q1 2024,” Kpler’s Lead Major Dry Bulks Analyst, Alexis Ellender, told businessline.
Power demand
Power generation by TPPs during November 2023 stood at 103,666.97 gigawatt hours (GWh), compared to 94,462.84 GWh in November 2022. During April–November 2023, the power generation stood at 875,296.01 GWh, compared to 789,147.41 GWh a year ago.
TPPs plant load factor (PLF), or capacity utilisation, last month was 66.33 per cent against 61 per cent in November last year. During April–November 2023, the PLF stood at 68.44 per cent compared to 62.53 per cent in the same period last year.
India’s energy consumption rose by 8.5 per cent y-o-y to 120 billion units (BU) in November 2023. The energy consumption in October stood at 139 BU.