India’s coal imports rose, albeit marginal, by 0.9 per cent Y-o-Y hitting 90.51 million tonnes (mt) during the April-July period of FY25 compared to 89.68 mt in the previous year.
Notably, non-coking coal imports increased by 2 per cent Y-o-Y during this time frame, while coking coal imports declined by 2.6 per cent on an annual basis. In July 2024 alone, coal imports rose by 15.9 per cent Y-o-Y to 21.81 mt compared to 18.82 mt in July 2023, the Coal Ministry said.
Despite a notable growth of 10.18 per cent in coal-based power generation from April 2024 to July 2024 compared to the same period last year, imports for blending purposes decreased by 8.2 per cent during the same period, it added.
This decline underscores India’s steadfast commitment to achieving self-sufficiency in coal production and reducing reliance on imports.
Increase in coal import for the power sector is attributed to the substantial quantity of coal procured by imported coal-based power plants (designed to utilise imported coal only) at 17.69 mt during April-July in FY25, up from 10.12 mt in the corresponding period last year.
Additionally, coal imports by the non-regulated sector saw a significant decline of 11 per cent Y-o-Y to 44.97 mt from 50.53 mt during the same time frame.
Coal output
Moreover, coal production during April-July of FY25 demonstrated a commendable increase, reaching 321.40 mt compared to 293.35 mt in the same period of FY24, a growth of 9.56 per cent. This upward trend reflects the government’s ongoing efforts to streamline coal usage and enhance domestic production capabilities.
The Ministry continues to implement strategic initiatives aimed at bolstering coal production and improving availability. These efforts are not only focused on safeguarding foreign reserves but also on enhancing the nation’s energy security.
The proactive measures taken by the government to increase domestic coal output will ultimately reduce dependence on imports and contribute to the overall sustainability of India’s energy landscape.
In conclusion, while the dynamics of coal imports present certain challenges, the Indian government’s strategic focus on increasing coal production and curbing coal import reflects a positive outlook for the country’s energy future. The commitment to achieving self-sufficiency in coal production is vital for maintaining economic growth and ensuring energy security in the coming years.