2 days ago
India’s Thermal Plants Face Critical Coal Stock Shortages
Many power plants in India are running low on coal.
On September 24, 80 of 190 plants had critically low stocks.
Across the country, the remaining coal was enough for about seven days.
The government has told 112 captive coal plants to run as much as they can from October through December.
It is also considering requiring power plants to use imported coal.
Electricity demand was unusually high in September.
At the same time, hydropower generation was lower than a year earlier.
Some experts say the shortage is mainly a temporary problem with moving and storing coal, rather than a lasting lack of coal.
Coal stocks were critically low at 80 of India’s 190 thermal power plants on September 24.
Total coal inventory fell from 22.3 million tonnes on September 24 to 21.98 million tonnes on September 26.
Coal stocks nationwide were estimated to cover about seven days, or 37% of the requirement.
The government directed 112 captive coal-fired plants to run at maximum available capacity from October 1 to December 31.
Peak demand reached 269 gigawatts on September 10, while lower hydropower output added pressure on coal-fired generation.
- Who
- India’s thermal power plants and the central government.
- What
- Coal inventories are critically low at many plants, prompting emergency operating directions and consideration of imported coal.
- Where
- Across India.
- When
- The figures cited were from September; directions apply from October 1 to December 31.
- Why
- Unusually high electricity demand and lower hydropower generation have increased pressure on coal-fired plants; experts also point to logistics and inventory issues.
Temporary Supply Bottleneck
Urgent Measures Needed
Nature of the coal shortage
Temporary Supply Bottleneck
Experts quoted in the article describe the issue as a temporary logistics and inventory problem, not a structural shortage of coal.
Urgent Measures Needed
The government’s emergency directions and consideration of mandated imported coal reflect concern about critically low stocks and the need to protect power supply.
Key facts
- Plants with critical stocks
- 80 of 190 plants on September 24; 77 on September 26
- Coal stock on September 24
- 22.3 million tonnes
- Coal stock on September 26
- 21.98 million tonnes, 24% below the 29 million tonnes reported on August 31
- Estimated nationwide stock cover
- About 7 days, equal to 37% of the requirement
- Emergency direction
- 112 captive coal-fired plants ordered to operate at maximum available capacity
- Peak demand
- 269 gigawatts on September 10; the year's peak cited was 270 gigawatts in May
- Hydropower generation
- Down 12% year over year during the first three weeks of September
Quotes
Anujesh Dwivedi
Partner at Deloitte India.
“The ongoing issue of increasing numbers of plants reaching critically low coal stock levels is more of a temporary logistics and inventory problem.”
rediff.com
Government directive
Directive issued by the government under Section 11 of the Electricity Act.
“The generators shall offer their available surplus generation, after meeting their own captive demand, through the power exchanges, in accordance with the applicable market regulations and procedures.”
rediff.com
Sources
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