Coal

An official of the Punjab State Power Corporation Limited (PSPCL) has chalked up the recent power outages to technical issues, dismissing concerns about coal shortage. Sanjeev Prabhakar, the Deputy Engineer at the West Circle (Ludhiana) of the PSPCL has shared, "There is no shortage of coal in the state". He further stated that the demand for electricity has increased to "about 30 to 40 percent all across the country".

The Union Power Ministry has amended the methodology for the use of coal allocated to states by Independent Power Producers (IPPs). The period of coal supply has been extended from one year to three. The time frame for the bidding process has also been cut down from 67 days to just 37 days. The ministry has stated that this has been done to ensure an efficient use of domestic coal.

Following the power crisis in Rajasthan due to low coal stocks, CM Ashok Gehlot met Chhatisgarh CM Bhupesh Baghel on March 25 to discuss the need for more coal supply to the state. Gehlot stated, "I hope Chhattisgarh decides soon, as Rajasthan is worried." Rajasthan's energy minister was also present at the meeting. Additionally, Gehlot inked a letter to Congress MP Rahul Gandhi mentioning the coal crisis situation in Rajasthan.

Karnataka CM Basavaraj Bommai met Union Railway Minister Ashwini Vaishnaw on February 7 and discussed seeking more rakes for the supply of coal. On delay in implementation of central projects in the state, he said, "Talks are on over issues related to land acquisitions, railway projects are being implemented." He further added that funds were not released at one go. Meanwhile, the CM also met Union Health Minister Mansukh Mandaviya. 

China's thermal coal future plunged on October 22 following the government's intervention to boost supply and ease the prices of the commodity amid a widespread power crisis. The country has been pushing coal miners to ramp up output and hike imports, thereby, power stations can rebuild stockpiles before winter. However, analysts believe that shortages are likely to persist for at least another few months.