Five power plants have stocks for the next 40 days stored up with them in advance.
India’s thermal power stations have shown an increase in their coal inventories owing to the better supply of coal and low demand for electricity. According to the Central Electricity Authority (CEA) in June, 2013, there were only five plants having coal shortage of four days whereas in May, 2013, around 13 power stations had less than four days of coal stock.
A Power Ministry official said, “The overall fuel supplies have increased; a prime reason for improved coal storage at plants. Also, another reason is that the PLF (a measure of plant’s efficiency) or plant load factor of stations is declining due to less demand from the states.”
National Thermal Power Corporation (NTPC), India’s largest power producer, holds three of the power plants with less than four days of coal. One of its plants is located in Chhattisgarh namely Sipat project with a capacity of 2,980 MW. Another two units with capacity of 2,600 MW and 2,000 MW are located in Ramagundem and Simhadri respectively which are located in Andhra Pradesh.
As per the normal requirement of the plants, they should have a stock of 15-30 days to fulfill the needs. Around 5 power plants had fuel stocks of more than 40 days, according to the data. Low demand for electricity is due to the increasing rates of electricity.
According to the Indian Energy Exchange’s trading figure, the low demand for electricity has lead towards decreased tariff rates. Power charges have fallen to Rs 1.93/kWh (kilowatt hour) in East India and at Rs 4.42 per unit in South India for the month of June, 2013.