India has 51 days coal stocks to meet power demand; production recovers after monsoon disruption

India has sufficient coal stocks to meet around 51 days of domestic power demand, Union Coal and Mines Minister G. Kishan Reddy said, allaying concerns over supply disruptions caused by heavy monsoon rains in coal-producing regions.

The country currently holds around 123.7 million tonnes (MT) of coal, including 23.7 MT stocked at thermal power plants, Reddy told reporters. With the power sector consuming nearly 2.4 MT of coal a day, the available stock is adequate to meet demand for about 51 days, he told in response to a query from The Hindu.

Reddy’s comments came amid concerns over coal inventories at thermal power plants. The Central Electricity Authority had recently observed that 53 thermal power plants were holding 25% or less of their required coal stock.

Coal production was affected for around 10 days due to monsoon rains in key coal-bearing regions, Reddy said. However, rainfall has eased over the past few days, allowing production to recover.

“We are monitoring the situation daily. Rainfall has eased in the last couple of days, thus production has increased. There is no need to worry about coal stocks,” Reddy said.

He added that if rainfall remains moderate for another week, coal production could increase further.

The Coal Ministry is also coordinating with coal-producing companies, the Ministries of Power and Railways to ensure adequate coal availability and smooth offtake, Reddy said.

Meanwhile, coal-based power generation rose 9.1% year-on-year to 535.8 billion units (BU) between April and August, according to government officials. “This was mainly due to El Niño conditions, coupled with an 11% decline in hydropower generation,” they explained.

Coal India’s production has also picked up sharply. According to the latest government data, the company’s average daily output increased by around 35% from the first three days of September to about 1.83 MT on September 6, indicating a recovery in production following the monsoon-related disruption.