Coal news and updates

Coal India to rush additional coal to power plants facing fuel crunch

In a bid to prevent any shutdown of power plants, coal major CIL has asked its arms to rush additional stocks to feed the power utilities reeling under acute fuel crunch.

The development is part of emergency measures taken by the maharatna firm to avoid shutdown of nearly one-third of the thermal power plants that have coal stocks of less than four days.

As per Central Electricity Authority, 29 out of 100 thermal power plants across the country as on September 1 have been left with super critical stock of less than four days.

According to sources, Coal India Ltd (CIL) has about over 30 million tonnes (MT) of stocks lying at different places, including railways sidings, that is being supplied to companies on priority basis.

Coal India has advised it subsidiaries to augment their offtake to critical and super critical power stations so that they can run smoothly, the source added.

The maharatna firm has also urged the power units to use trucks to transport coal from remote mines, the source said.

The maharatna firm has also urged the power units to use trucks to transport coal from remote mines, the source said.

With power plants reeling under fuel shortages, Coal and Power Minister Piyush Goyal had in July asked CIL to prepare an action plan by next month to liquidate 39 MT of stock.

"The minister reviewed the status of liquidation of coal stock. He observed that about 39 million tonne is lying at stock... He directed to prepare action plan to liquidate the available stock by September, 2014," a source privy to the development had earlier said.

For faster evacuation of coal from the pitheads, CIL had earlier introduced a one-time offer which allowed power utilities to lift the fuel directly from mines.

Source: PTI