CIL’s coal offtake declines 7.8% in May despite rising summer power demand

Coal India Limited witnessed a significant drop in coal offtake during May 2025 and the April-May period, even as India’s power demand surged
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CIL’s coal offtake declines 7.8% in May despite rising summer power demandEnergy Watch
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New Delhi: Coal India Limited (CIL), the country’s largest coal miner, witnessed a significant drop in coal offtake during May 2025 and the April-May period, even as India’s power demand surged due to rising summer temperatures. The fall in coal dispatches from CIL — which supplies over 80 percent of the fuel used by the country’s thermal power plants — comes at a critical time when electricity consumption is typically at its seasonal peak.

In May 2025, CIL’s total coal offtake stood at 64 million tonnes, down from 69.4 million tonnes in May 2024 — a year-on-year decline of nearly 7.8 percent. The cumulative offtake for the April-May 2025 period dropped to 128.5 million tonnes from 133.7 million tonnes last year, marking a fall of 3.9 percent. The drop in offtake is particularly striking during a period when coal-based power generation plays a vital role in meeting peak electricity demand.

CIL’s coal production muted in May & April-May period

Coal production during this period also remained muted. CIL produced 63.5 million tonnes of coal in May 2025, slightly down from 64.4 million tonnes in the same month last year. For the April-May 2025 period, the company’s total coal production stood at 125.6 million tonnes — marginally lower than the 126.2 million tonnes recorded during April-May 2024.

Among CIL’s subsidiaries, Mahanadi Coalfields Limited (MCL), a key contributor to overall production, recorded an offtake of 17.7 million tonnes in May 2025, down from 18.4 million tonnes a year earlier. Its offtake for April-May also slipped to 34.6 million tonnes from 35.7 million tonnes last year. MCL’s coal production in May 2025 was 17.9 million tonnes, marginally lower than the 18 million tonnes reported in May 2024.

SECL, NCL & other CIL subsidiaries also see decline in coal offtake

South Eastern Coalfields Limited (SECL) maintained its production at 13.8 million tonnes in May 2025 — the same as last year — but saw its coal offtake fall from 16.5 million tonnes in May 2024 to 15.5 million tonnes in May 2025. For the April-May period, SECL’s offtake declined to 30.7 million tonnes from 32 million tonnes last year, while production edged down slightly from 27.9 to 27.8 million tonnes.

Northern Coalfields Limited (NCL) experienced a drop in offtake from 12.3 million tonnes in May 2024 to 11.2 million tonnes in May 2025. Its April-May offtake stood at 23.2 million tonnes, compared to 23.7 million tonnes during the same period last year. However, NCL’s production in May rose from 12.1 to 12.4 million tonnes, and its April-May output also increased from 23.9 to 24.6 million tonnes — bucking the overall trend.

Central Coalfields Limited (CCL) saw a sharp fall in May offtake, down 20.3 percent from 8.1 million tonnes in May 2024 to 6.5 million tonnes this year. Its April-May offtake dropped to 13.6 million tonnes from 15 million tonnes a year ago. Production also declined, from 6.7 to 6.2 million tonnes in May, and from 12.8 to 12.1 million tonnes across April and May.

Western Coalfields Limited (WCL) produced 6.1 million tonnes in May 2025, largely unchanged year-on-year, but its offtake declined slightly from 6.2 million tonnes to 5.8 million tonnes. Bharat Coking Coal Limited (BCCL), which caters to the metallurgical sector, saw production fall from 3.7 million tonnes in May 2024 to 3.1 million tonnes in May 2025. Its offtake also dropped from 3.4 to 3.2 million tonnes over the same period.

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Eastern Coalfields Limited (ECL) recorded a dip in May offtake from 4.5 million tonnes in 2024 to 4.2 million tonnes this year. For the April-May 2025 period, its offtake was 8.4 million tonnes, slightly lower than 8.6 million tonnes a year ago.

The fall in both production and offtake across most subsidiaries, especially during peak summer demand, points to operational or logistical challenges that may be affecting the flow of coal to thermal power plants. With the monsoon season approaching — often a time of constrained coal movement — replenishing power plant stocks and ensuring smooth dispatch will be critical to maintaining grid reliability in the months ahead.

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