New Delhi: State-owned CIL on Thursday said the supply of dry fuel to the power sector users has increased by 11.01 per cent to 148.20 million tonnes (MT) in the second quarter of the current financial year from 133.50 MT in the year-ago period.
The supply has firmed up ahead of the festive season, when electricity demand typically rises, and is likely to help ensure adequate availability of coal at thermal power plants, CIL said in a statement.
Read more: India power shortfall hits three-year peak despite higher coal burn
Higher supplies enabled Coal India Ltd (CIL) to liquidate around 63 MT of pithead coal stocks during the first six months of the current fiscal. With approximately 67 MT of coal currently available at its pitheads, CIL has adequate inventory to meet the requirements of the power sector in the coming months.
CIL, which accounts for over 80 per cent of domestic coal output, also augmented its total supplies by 12.50 per cent to 61.20 million tonnes in September compared with 54.40 MT supplied during the corresponding month of the previous fiscal.
Overall supplies to the power sector registered a strong growth of about 10.63 per cent, rising to 48.90 MT during the month from 44.20 MT in September last fiscal.
Supplies to the non-regulated sector registered robust growth, increasing by 19.41 per cent, CIL said.
The coal production by the coal behemoth also grew by 9.18 per cent during September to 53.50 MT, compared with 49 MT produced in September last financial year.
Coal production during the July-September quarter also grew by 3.81 per cent to 151.37 MT, as against 145.82 MT recorded during Q2 of the last financial year.
With the sustained operational momentum demonstrated during September and Q2 FY27, CIL said it remains well positioned to pursue its assigned coal production and supply targets and continue contributing to the energy security of the country on a sustained basis.
With the monsoon season over, coal production is expected to further pick up, along with supplies.
Read more: GEC-III scheme to unlock next growth phase for India renewables sector
CIL has been assigned a coal production target of 815 MT and a supply target of 850 MT for the current fiscal.
Union Minister G Kishan Reddy on Monday said there was no shortage of coal in the country despite higher thermal power demand, monsoon-related disruptions in mining and lower hydropower generation.
"There is no shortage of coal. We are supplying by rakes and road," Reddy said when asked about reports of coal shortage at power plants.
The minister for coal and mines was speaking on the sidelines of the Assocham-organised Angul Aluminium Roadshow here.
He said thermal power demand increased by around 12-15 per cent as hydropower generation declined, while monsoon conditions affected coal mining operations.
Reddy said the temporary disruptions should not be construed as a coal shortage and asserted that the overall situation was normal. "The situation is normal. There is no tension."