Coal India (CIL) has missed its May, 2014 Coal production target by 6% and produced around 36.3 MnT Coal. However, its Coal production up by 5%.
Monthly Coal production increased by 3% compared to Apr’14. CIL’s Coal production up by 5% in May ’14 against May ’13.
As the Coal demand in India increasing expeditiously, CIL is taking steps to escalate its production. In FY15 (till May), its Coal production up by 5% than the same period of last fiscal year. CIL is targeting to produce around 507 MnT during FY15, which seems unrealistic owing to significant constraint on the way. During FY14, CIL missed the production target from 18 MnT and produced around 464 MnT despite the target of 482 MnT.
CIL also missed its Coal offtake target by 3 MnT and dispatched around 40.71 MnT Coal. During FY15 (till May), its offtake target missed by 7.69 MnT and dispatched total 81.3 MnT Coal. Comparing to same period of last financial year, company’s offtake has improved by around 4%.
With the current fiscal year production target, CIL official expects to remain short by 10 MnT. The company also intend to import Coal from overseas and may award contract to solely participant MMTC in its supplier finalization.
Coal stock at Indian power plants
As reported by the government agency CEA, around 18 thermal power plants are facing the acute Coal shortage having less than 4 days Coal inventory. Around 30 power plants have less than 7 days Coal stock.
Majorly Chhattisgarh, Maharashtra & Andhra Pradesh are facing Coal shortage and almost 12 power plants have acute shortage and operating with lesser than 4 day Coal stock.