India has witnessed significant growth in coal production during the current financial year, with the latest figures showing a growth of 12.73% compared to the same period in the previous year. This reflects a substantial surge in coal output, signaling positive trends in the energy sector.
The growth story is led by Coal India Ltd (CIL), which has seen a commendable production growth rate of 11.80%. Additionally, Singareni Collieries Company Limited (SCCL) and the captive mines sector have also made substantial contributions with growth rates of 8.45% and 20.50%, respectively.
As of October 21, 2023, the total coal stock in the country stands at a whopping 71.35 million tonnes (MT), which includes coal at mine pitheads, transit, and thermal power plants. This figure marks a 18.05% increase compared to the corresponding period last year, highlighting the nation's growing coal reserves.
Notably, the import of coal has seen a significant decline, with only 13.5 MT imported during the current financial year as opposed to 20.8 MT during the same period last year, indicating a 35% reduction in imported coal for blending purposes.
Despite the challenges posed by an extended rainy spell in coal-producing states during early October, production has rebounded significantly over the past 10 days. The total production from all sources during this period has averaged over 26.57 lakh tonnes per day, a high rate.
The nature of coal production in India exhibits a seasonal pattern. The first half of the year, dominated by summer and monsoon, witnesses a depletion of coal stocks at pitheads and thermal power plants. In contrast, the second half of the year, following the monsoon season, experiences an accretion in coal stock as production conditions become more favorable.
Despite the surge in demand for power, the Ministry of Coal has effectively maintained a sufficient supply of coal at all thermal power plants across the country.
In preparation for the upcoming festival season, the Ministry of Coal has devised a strategic plan. This includes offering higher wages to contractual workers during the season, resulting in a remarkable 21 lakh tonnes of coal production by CIL on Maha Astmi, equivalent to a typical day.
Future Projections: Looking ahead, the Ministry of Coal is determined to ensure that there are more than 40 million tonnes of closing stock at pithead plants of thermal power and over 75 million tonnes at the mine end by March 31, 2024. This forward-looking approach will help guarantee a stable coal supply and meet the nation's energy requirements effectively.
Tags:#coalproduction #india #energysector #growth #festivalseason #CIL #SCCL