Coal shortage: Union Min Joshi assures situation will be 'alright' in 3-4 days

Union Minister of Coal, Mines and Parliamentary Affairs Pralhad Joshi on Saturday said that the surge in prices of coal in global markets had led to its shortage and decreased power generation. Joshi, however, assured that the condition would be 'alright' in the next three to four days. Heavy rainfall this year also contributed to the coal shortage, he said.

Speaking to reporters, the Union Minister said, "If you compare with the past many years, coal production and dispatch have been the highest in September and especially in October. In another three to four days, things will be alright."

He informed that international prices of imported coals soared all of the sudden and power plants that relied on foreign coal stopped electricity generation. "Because they have stopped production, the entire load is on domestic coal," Joshi stated.

Power Ministry on stock coal position

Core Management Team (CMT) is closely monitoring and managing coal stocks on regular basis and ensuring follow up actions with Coal India Limited and Indian Railways to improve coal supply to the power plants.

"Ministry of Coal & Coal India Limited have assured that they're making best efforts to increase dispatch to power sector to 1.6 MT/day in next 3 days & try to touch 1.7 MT/day. It's likely to help in gradual build-up of coal stocks at power plants in near future," the ministry said in a statement.

Coal Shortage in India

The current coal crisis is due to the sudden revival of India's economy, leading to an increase in demand for power. The power consumption in the past two months has been on the uptick. At the same time, coal prices in the global market surged by 40% and India's imports fell.

Power plants that rely on imported coal and are now dependent on Indian coal, increasing pressure on the domestic market. Also, heavy rains in coal mine areas in September further stressed the domestic coal markets.

Earlier in the day, Delhi Chief Minister Arvind Kejriwal urged Prime Minister Narendra Modi to intervene and ensure adequate coal supply to thermal power plants providing electricity to the national capital. He further said that Delhi could face an electricity crisis in the coming days. Punjab CM Channi also urged PM Modi to intervene and take measures to avert power crisis.