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Centre pushes for optimum power generation; coal crisis to improve soon
The monitoring team has also noted that legacy issues of heavy dues of coal companies from certain states have aggravated the crisis.
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A day after the power ministry issued guidelines to coal-fired power plants, a core management team monitoring the coal stock situation in the country noted the situation in power plants are likely to improve soon, according to people familiar with the matter. The committee reviewed the status on Saturday amid reports of acute coal shortage in several states. It noted that the total dispatch of coal by Coal India Limited (CIL) touched 1.501 MT on October 7, reducing the gap between consumption and actual supply.
The coal dispatch is likely to touch 1.7 MT per day after three days, helping the coal supply and consequent power situation to improve, the core management team (CMT) assured.
The team has cited the surge in electricity demand; heavy rains in coal mine areas; increase in prices of imported coal to unprecedented high level; and non-building of adequate coal stocks before the onset of monsoon as the primary reasons behind the coal shortage. The dependence on coal has increased since 65% to 70% demand of more than 4 billion units per day consumption of electricity is being met by coal-fired power generation only, according to the CMT.
The monitoring team has also noted that legacy issues of heavy dues of coal companies from certain states have aggravated the crisis.
On Friday, the ministry of power issued guidelines for operationalising optimum utilization of generating stations in the electricity grid. The ministry said that the utilised power capacity that remains idle under power purchase agreements needs to be despatched in the public interest.
Under the new guidelines, the Central government has allowed the generator to sell the unrequisitioned power in the power exchange if the procurer does not requisition power from the power plant up to 24 hours in advance prior to the day of delivery of power.
“Where the procurer decides not to schedule power for any period, either full or part capacity, from the generating station with which he has signed the PPA, which may be more than 24 hours in advance, the generator shall be free to sell the un-requisitioned power, for the period for which it has not been requisitioned, in the power exchange,” the guidelines read.
