Coal India ramps up supply to power sector

Shobha Roy Updated - October 29, 2021 at 10:56 PM.

Soon, 4 lakh tonne of coal will be added daily at power plants: Industry official

Coal India Ltd dispatched close to 1.82 million tonnes of coal to power plants on October 28, almost 43 per cent higher as compared to the around 1.27 mt it supplied at the same time last year. With this, the State-owned miner has surpassed its target of supplying around 1.7 mt to the power sector by this month-end. The total dispatch (to power and non power sectors) increased to 2.11 mt.

The higher supplies (not just from CIL but also other sources including Singareni Collieries Company (SCCL), captive coal mines and imported coal) have helped improve the stock position at power plants which has increased to 9.42 mt as on October 27, as against 7.29 mt on October 10 this year.

The number of plants holding critical or super critical stock levels (holding less than six days’ stock) has also come down to 91 as on October 27, as compared with around 115 plants as on October 10, as per data available on the website of Central Electricity Authority.

The average daily stock at coal fired thermal power plants increased to five days, as against around four days just about a fortnight ago.

Of the 135 power stations, around four plants with a total capacity of 3,510 MW have zero day stock as on October 27 compared with 17 plants with a total capacity of 16,430 MW; and number of plants with one day stock was down at 15 (total capacity 16,722 MW), as compared with 26 (total capacity 34,930 MW) as on October 10.

Stock situation to improve

According to a senior official at CIL, the company’s supplies to the power sector increased by nearly 23 per cent at 288.25 mt during the period April 1 to October 28 this year, as compared with 234 mt in the same period last year.

“We expected to touch 1.7 mt to power sector by the month end but we have already touched 1.82 mt yesterday. Now what is important is to sustain this kind of supplies,” the official told BusinessLine .

The average daily supplies to power sector increased from around 1.2-1.3 mt in August to close to 1.55 mt in early October.

Also see: Coal stocks at power plants gradually improving

While the mines at Mahanadi Coalfields and SECL have been “doing very well”, the situation at Eastern Coalfields (which was inundated due to heavy rainfall) has also been slowly improving.

The average daily supplies from CIL touch close to two lakh tonne usually around the months of February and March. However, given the huge demand for coal from thermal power plants, CIL ramped up supplies in October.

At the current run rate close to four lakh tonne is likely to be added to the coal stocks at power houses on a daily basis, an industry official said.

The average coal stock position at the power plants is expected to improve to six-to-seven days and the average daily stock is likely to increase to over 10 mt by the end of this month.

 

 

Published on October 29, 2021 16:34