The Centre’s intervention to end the coal workers’ strike has averted a power crisis.
In the last four days alone (January 4 to 7) the peak power shortage shot up by 1,812 MW. On January 7, the second and final day of the strike called by the Coal India workers, the peak shortage was at 5,204 MW — almost Delhi’s entire supply. It was 3,392 MW on January 4 when coal production was normal.
The peak power shortage — the shortfall in electricity supply when the demand is at the maximum point — normally hits 5,000 MW during the summer, when demand is high. In winters, the peak power shortage averages about 3,500 MW.
The peak shortage started increasing from January 5, as sections of workers started going on strike. On that day it stood at 5,030 MW.
While power generation data for the two days of the strike (January 6, 7) are not available, data from the National Load Despatch Centre show that the peak shortage rose during the strike, indicating a shortfall in electricity generation.
The impact of the strike was also seen on power tariffs. Merchant power tariffs rose 36 per cent to ₹3.073 per kwh on January 7, according to the Indian Energy Exchange.
After an almost five-hour-long meeting on January 7 between the five trade unions and Power, Coal and New and Renewable Energy Minister Piyush Goyal, a deal was struck and the strike called off.
CITU dissent However, there were dissenting voices. The Centre of Indian Trade Unions (CITU) said it was unfortunate that the strike was called off only on the basis of an assurance from the minister.
CITU agreed to call off the strike for the cause of “trade union unity”.
Coal-based power generation in the country missed the targeted production for the day by 3.8 per cent on January 5. Data for the next two days were not available. The plants generated 2,190.56 million units of electricity as against a target of 2,278.71 million units on January 5.
About 42 power plants had less than seven days of coal stocks from January 1 till date, according to the Central Electricity Authority. This was an improvement from November, when around 57-58 plants were operating with less than seven days of coal stocks. But, had the strike continued, generation would have been hit.
The concerns of the unions included provision of commercial mining in the Coal Mines (Special Provisions) Ordinance, the central government’s stake sale in Coal India, and restructuring of Coal India.
Goyal on Thursday said: “To address the grievances of the workers, the Government has constituted a committee. The ordinance has been brought to ensure transparency in coal block allocations and avoid any coal supply disruptions that would impact power supplies in the country.” The Centre expects to triple coal exploration in the country in the next two years.
Divestment plans On disinvestment, Goyal said Coal India will have to increase its public shareholding to 25 per cent in line with SEBI guidelines. “But, there is no need for the workers to worry about their jobs. Coal India will remain in Government hands and it will not be privatised,” he said.