The power ministry has asked the coal ministry to increase production by 10 to 12 per cent this financial year, saying power outages with Coal India Limited (CIL) and its arm, Singareni Colliery Company Limited (SCCL) are hurting economic recovery. “To ensure uninterrupted power supply and prevent any disturbance that could harm the country’s economic recovery, the power ministry has asked the coal ministry to increase the output of CIL and SCCL in the power sector by at least 10-12 per cent in the current financial year” Media reports.

The media also informed that the Ministry of Electric Power has informally communicated with the Ministry of Coal and will conduct formal communication on the matter as soon as possible. As of May 23, 2022, the coal inventory of 155 non-pit mouth thermal power plants with a total installed capacity of 164GW was 25 per cent of the standard level. The Central Electricity Authority (CEA) is monitoring inventories.

China Eastern’s data showed that coal inventories at 155 power plants with an installed capacity of more than 164GW stood at 14.233 million tonnes, compared with the normal level of 57.195 million tonnes. Coal is transported from coal mines to pitless thermal power plants hundreds of kilometres away.

While coal production from captive mines in the power sector is expected to rise by 43 per cent to 120 million tonnes this fiscal year, output from CIL and SCCL is likely to grow by only 4-6 per cent, media reports said. In FY22, CIL contributed 540 million tonnes of coal to the power sector, while SECL contributed another 53.65 million tonnes.

According to estimates, 565 million tonnes of coal are expected to be sent to the power sector by CIL and 57 million tonnes by SCCL in the current financial year. The data shows that captive coal mines in the power sector have tried to increase production by 40 per cent in the current financial year, while mining companies under the Ministry of Coal will have to increase production by at least 10 to 12 per cent. Iron supply crisis, media reports.