Coal supply to power sector surged in October 2021

Coal supply to the power sector went up by 27 per cent to stand at 59.7 million tonnes in October 2021, mainly due to a surge in power demand coinciding with rise in dry fuel’s import prices. In October 2020, coal supply to the power sector was 46.98 million tonnes, according to official figures.

During the first week of October 2021, thermal power plants were facing an acute shortage of coal, which had led to an energy crisis in the country as around six states were facing prospects of outages.

Sector-wise though, the supply of coal to the sponge iron sector in October 2021 had fallen by 29.2 per cent to 0.46 million tonnes, against 0.65 million tonnes during the corresponding period of last year.

The dry fuel supply to the cement sector had fallen to 0.47 million tonnes in October 2021, against 0.68 million tonnes in the corresponding period of last year.

Recently Coal Minister Pralhad Joshi had asked Coal India Limited (CIL) and its subsidiaries to ensure that at least 18 days of coal stock with thermal power plants is available by the end of November 2021.

Coal India accounts for over 80 per cent of domestic coal output.