COAL FIRED POWER PLANTS – Number of steps taken to ensure adequate availability of coal – Union Power & NRE Minister Shri R. K. Singh

Ministry of Power

COAL FIRED POWER PLANTS - Number of steps taken to ensure adequate availability of coal - Union Power & NRE Minister Shri R. K. Singh

Posted On: 16 MAR 2023 7:07PM by PIB Delhi

As on 12.03.2023, the total coal stock available with the coal based thermal power plants monitored in CEA is 33.5 Million Tonnes (MT), which is sufficient for an average of 12 days at a requirement of 85% Plant Load Factor (PLF).

However, the Government has taken the following steps to ensure adequate availability of coal:-

1. To address the issues of coal supplies to power sector, an Inter-Ministerial Sub Group comprising of representatives from Ministries of Power, Ministry of Coal, Ministry of Railways, Central Electricity Authority (CEA), Coal India Limited (CIL) and Singareni Collieries Company Limited (SCCL) meet regularly to take various operational decisions to enhance supply of coal to thermal power plants as well as for meeting any contingent situations relating to Power Sector including to alleviate critical coal stock position in power plants.
2. An inter-ministerial Secretary-level meeting is held regularly to monitor coal stocks.
3. Government has issued the revised coal stocking norms, which mandates the power plants to maintain sufficient stock at all times to meet any contingent situation.
4. Power Utilities have been importing coal considering their requirement as well as cost-economics. Ministry of Power vide order dated 09.01.2023 directed Central/State Gencos and IPPs to take necessary actions to import coal for blending at the rate of 6% by weight through a transparent competitive procurement so as to have sufficient stock at their power plants for smooth operations till September, 2023.
5. Railways have taken steps to purchase 1 Lakh wagons.
6. Increase in the net work of Railways in coal mining areas.

Regarding sale of power by the generating companies to power exchanges at higher rate than the agreed rate between buyers and generating companies, as per Rule 9 of the Electricity (Late Payment Surcharge and Related matter) Rules, 2022 notified by Ministry of Power on 3rd June, 2022, the generating companies may sell the contracted power, which is not requisitioned by a distribution licensee, in the power exchanges. In case of any gain arising due to sale price in the exchange higher than the expense borne by the generating company including energy charges, transmission charges and other incidental charges, the gains from sale of such power shall be adjusted in the following order:

1. Payment to generating company of up to three paise per unit.
2. Recovery of Fixed Cost.
3. Liquidation of overdue amount.
4. The balance shall be shared in the ration of 50:50 between the distribution licensee and the generating company.

This information was given by the Union Minister of Power Sh. R.K. Singh in the Lok Sabha Today.

*******

AM/DK