State-run Coal India (CIL) on Monday said that the company has around 168 million tonnes (MT) of coal available across power plants, mine heads and transit points, seeking to calm concerns over fuel shortages as record electricity demand and rising summer consumption sharply tighten thermal coal inventories.
The reassurance comes at a time when India’s peak power demand has touched a record 270.82 GW amid severe heatwave conditions, increasing dependence on coal-fired generation to stabilise the grid during periods of high evening demand.
Coal stocks at domestic coal-based thermal power plants stood at 47.6 MT as of May 23, while inventories at Coal India’s mine heads were at 113.5 MT as of May 24, around 10% higher year-on-year, the company said.
The current stock position is sufficient to meet nearly 19 days of coal consumption by domestic coal-fired power plants.
In addition, around 3 MT of coal is lying at transit points including goods sheds, private washeries and ports, while another 4 MT is currently moving through the railway network as “rakes on run”.
Together, the total coal available in the system stands at around 168 MT, according to the company.
“Compression of coal stock levels at coal fired plants during peak summer is a natural occurrence rather than a supply-side crisis,” CIL said in a statement.
The statement comes amid concerns over lower inventories at several thermal plants during periods of peak summer demand and rising cooling consumption across northern and western states.
Coal India also said around 50 MT of in-situ mine coal remains available for quick extraction and dispatch if demand rises further during the ongoing summer season.
The company said that of the 21 power plants categorised under “criticality” as of May 20, only 11 were domestic coal-based plants and seven among them source coal from Coal India.
Thermal power continues to remain the backbone of India’s electricity system, accounting for nearly 75% of total electricity generation during periods of peak demand and low renewable energy output.
The coal supply situation assumes greater significance this year as India witnesses rapid evening ramps in electricity demand after sunset, when solar generation declines sharply and thermal power plants are required to quickly increase output.
Coal India said it has been regularly coordinating with thermal power plants to build stocks ahead of peak summer demand, particularly for stations located in logistically difficult areas.
“CIL has adequate quantity to meet the generation capacity of domestic coal-based plants,” the company said.
The company’s reassurance also comes against the backdrop of rising concerns over fuel availability during periods of sustained heatwaves, when electricity demand for cooling sharply increases and renewable generation variability places additional pressure on coal-fired power plants.