Power Minister writes to CMs on immediate steps to be taken by gencos to build coal stocks
Author: BI Bureau
New Delhi: Union Minister of Power and New and Renewable Energy RK Singh has written to states that state gencos may be asked to take immediate steps to import coal for blending in order to meet their requirement during monsoon season. The minister, in separate letters to Haryana, Uttar Pradesh, Karnataka and West Bengal, has expressed concern that tender process for coal import has either not started or not completed in these states.
The Ministry of Power earlier advised state gencos to import 10 per cent of coal requirement for blending purposes. The states were advised to place orders by 31.5.2022 such that delivery of 50 per cent quantity is ensured by 30.6.2022, 40 per cent by 31.8.2022 and remaining 10 per cent by 31.10.2022.
Singh further asked that state gencos may lift the entire quantity of coal offered under the RCR mode expeditiously to build coal stock. He stressed that in case of failure on either account, it would not be possible to give additional domestic coal to make up the shortfall. He added that if RCR allocation is not lifted it will be allocated to other needy state gencos and if the present state of affairs continues it may lead to shortage of coal in states during monsoon adversely affecting the power supply situation in the states.
Singh highlighted that due to increase in demand and consumption of electricity, the share of coal-based generation has increased and the total coal consumption by power plants has also increased. He added that materialization of domestic coal is only about 88 per cent of total requirements. /BI/
