Question : Demand for Coal Supply

(a) whether despite issues in supply of coal in October-November, 2021, Government is still not able to supply coal to units and if so, the details thereof;

(b) the constraints being faced in getting rakes from Railways for supplying coal;

(c) whether the Government is considering fix to responsibility on CIL for lagging behind in meeting the coal demand and if so, the details thereof and if not, the reasons thereof;

(d) the present status of demand for coal and supply by Government, plant-wise and State-wise, with a particular reference to Andhra Pradesh; and

(e) whether asking thermal plants to import coal is indicative of short supply of coal and if so, the details thereof?

ANSWER
MINISTER OF PARLIAMENTARY AFFAIRS, COAL AND MINES
(SHRI PRALHAD JOSHI)

(a): There is no shortage of coal in the country. Due to increased demand of power, less power generation by imported coal based power plants and some interruption in supply of coal due to heavy rains, the coal stock at the power plants depleted to 7.2 Million Tonnes (MT) as on 8th October, 2021. Subsequently with increased coal supplies, the coal stock has started increasing and has now reached 26.5 MT as on 09.03.2022 with respect to the plants based on domestic coal. In addition, coal stock at Coal India Limited (CIL) and Singareni Collieries Company Limited (SCCL) pithead as on 13.03.2022 is 47.95 MT and 4.49 MT respectively. In 2021-22 (up to 10th Mar’22), Coal India (CIL) has dispatched 506.29 MT, with a 23% growth over last year. Similarly, SCCL and captive coal blocks have dispatched 50.38 MT and 77.5 MT coal to power sector (up to 10th Mar’22) which is 34.2% and 40% more than the same period of last year.
(b): Railways have improved supply of total coal rakes from 404 rakes/day in September 2021 to 508 rakes/day in February 2022. Of this, rake supply to power sector, on account of higher priority for the sector has improved from 305 rakes/day in September 2021 to 396 rakes/day in February 2022.
Railways is in constant touch with coal companies and Gencos for reducing terminal detention of rakes and generate additional rakes for coal loading. Railways have also made a plan for induction of one lakh wagons (out of which 41% are open wagons), during the horizon of three years to facilitate enhanced supply of rakes to coal sector.
(c): Due to the high price of International Coal, the domestic as well as import-based power plants imported less amount of coal during the current Fiscal resulting in less generation from import-based power plants. On the other hand, domestic coal-based power plants generated as per their programme with a growth of 16 % over last year same period.
(d): The plant-wise and state wise details of receipt and consumption of coal (domestic and imported) by thermal power plants in the country for the period April 2021-Jan 2022 is enclosed at Annexure-I.
(e): As per the current import policy, coal is kept under Open General License (OGL) and consumers are free to import coal from the source of their choice as per their contractual prices on payment of applicable duty. In view of limited domestic production of coking coal, coking coal will continue to be imported for use by the steel sector. Thermal power based on domestic coal may use imported coal up to 10% for blending with domestic coal, where technically feasible, to meet the increased power demand in the country.


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