India is having about 10 per cent of the world’s Coal reserves, but still the country is facing Coal shortage & struggling to supply sufficient fuel to the power sector.
State owned Coal miner, Coal India Limited (CIL) and Indian government are working with parallel approaches to meet with Indian Coal demand & secure the future of supplies. During FY13, India’s total Coal demand was 772.8 MnT out of which 569.7 MnT was supplied from domestic sources, 137 MnT was imported and around 66 MnT of shortage remained.
As per CIL, by the end of 12th plan Coal demand will reach to around 980.5 MnT in India, of which 795 MnT of Coal will be supplied by domestic sources but, 185 MnT has to be imported.
With increasing Coal demand in India, Ministry of Coal, Ministry of Railways & CIL with a combine effort, are taking India forward on fuel security and addressing the challenges with meaningful solutions.
To cover the Coal shortage in future, CIL is stepping forward on imports as per requirement with the help of state own agencies like MSTC, MMTC, STC etc. CIL has also announced to import around 15 MnT of Coal in FY14. CIL will supply 65 per cent from the domestic sources and the rest 15 per cent from imports as per the signed pacts. CIL has signed about 157 Fuel Supply Agreements (FSAs) with power producers so far.