New Delhi: In the backdrop of a steady surge in power demand, state-run Coal India Limited (CIL) ramped up its coal supplies to the power sector in October and dispatched 15 MT more coal during the month in comparison to the corresponding month of the previous financial year. In October, CIL’s coal supplies to the power sector stood at 346 MT which was 4.5 percent higher than the 331 MT dispatched in October 2022. “The quantum supplies to the power sector were 4.7 MTs more than the progressive commitment of 341.3 MTs till October,” said an official statement from CIL on Thursday. On November 1, Coal India Limited celebrated its 49th Foundation Day.
Among the eight core sectors of the country, coal production grew 16.1 percent year-on-year in September, the highest of all the sectors. CIL’s contribution was significant in this growth as it supplies 80 percent of the coal required by the power sector.
Coal India Ltd posted a strong 12 percent year-on-year production growth ending October FY 2023-2024. CIL produced 394 MTs of coal in April-October 2023 period, which was 42 MT higher than 352 MTs recorded in the corresponding period of the last fiscal. The output growth was higher than the annual asking growth rate of 11 percent.
“CIL has come a long way from production of 79 MT in its year of inception, in 1975, to 703 MT ending FY2022-23. And, we are on course in pursuit of the challenging output target of 780 MTs in the current financial year,” said CIL Chairman PM Prasad in the company’s Foundation Day event on November 1.
Production shot up by 8 MTs in October alone to 61 MTs, logging 15 percent growth. On a comparative basis, the same in October 2022 was 53 MTs.
“In the festive month of October even as the demand for power spiked up, CIL’s supplies to thermal plants grew by 11 percent to 50.8 MTs compared to 45.8 MTs of October 2022. Increase in volume terms during the month was 5 MTs despite the rains lashing across the mines in CIL’s subsidiaries based in eastern part of the country ECL, BCCL, CCL and partly NCL during the first week of October,” said CIL.
“CIL feels confident of breaching the annual supply target of 610 MTs to power sector,” it added.
CIL’s total coal off-take clocking 9.5 percent growth raced to 422.3 MTs for the progressive period ending October FY 2024. The supplies were 36.6 MTs higher than the year-ago period when the off-take was 385.7 MTs.
For the month of October, the total coal despatch was 61.6 MTs with nearly 8 MT increase. Overall supplies registered 14.7 percent growth during the month compared to 53.7 MTs in October 2022.
Coal stock at CIL’s pitheads stood at 41 MTs ending October, almost 14 MTs more than the same period last year, providing a comfortable buffer to meet any increase in future demand.