Singareni’s short-supply of quality, quantity coal forces Genco to seek 5 MT supply from CIL, MCL

HYDERABAD

The Telangana Power Generation Corporation Ltd (TG-Genco) has requested the Ministry of Power for supply of additional 5 million tonnes of coal to its thermal generation stations with approval of the Ministry of Coal.

In a communication addressed to the Secretary to the MoP recently, Chairman and Managing Director of TG-Genco S. Harish stated that all its thermal generating stations have coal linkage with Singareni Collieries Company Ltd (SCCL) with a long-term coal linkage of 28.87 million tonnes per annum.

However, the 500 megawatt and 800 MW units of Kothagudem Thermal Power Station Stage VI and VII and 5×800 MW Yadadri Thermal Power Station, whose four units are already into generation, are designed for utilisation of higher-grade (G9/G10) coal. But, the inadequate supply of higher-grade coal, the units are being operated at partial loads severely affecting their generation.

The anticipated peak power demand of over 260 gigawatt is likely to be touched during the coming months, the coal-based thermal units of TG-Genco would need to operate at their rated capacities to meet the increased demand. The date of commissioning/commercial operation date of the fifth unit of YTPS is scheduled next month and the operation of all five units would require about 50,000 tonnes of coal per day.

Stating that linkage materialisation from SCCL is only 76% and the quality materialisation with respect to fuel supply agreement (FSA) grade coal is around 40% in 2025-26, he said the generation at Genco’s station was severely affected due to the shortfall both in quality and quantity. The SCCL has already informed that it is unable to supply higher-grade coal as Genco’s requirement, it could cater to the coal requirement of only three units of YTPS in long-term.

For the remaining two units of YTPS, the SCCL has suggested Genco to obtain coal linkages from alternative sources such as Coal India Ltd through long-term linkage in order to ensure assured availability of higher-grade coal and to mitigate dependence on SCCL’s limited high-grade coal resources.

The ground stocks of Genco’s thermal power stations are sufficient for only four days with replenishment coming in only limited measure, against the Central Electricity Authority norms of maintaining ground stocks at least for 26 days. The CEA was apprised of the situation and in turn it had suggested Genco to take up the matter with CIL and Mahanadi Coalfields Ltd for supply of an additional 5 million tonnes of coal to Genco’s thermal power stations.