Construction Industry News
According to the Center for Energy and Clean Air Research (CREA), lower monsoon coal stocks in India's thermal power plants could lead to another power crisis in July-August.
The current coal supply is 13.5 million tons (mt) at mining plants and 20.7 million tons at all power plants in India.
According to data, coal-fired power plants cannot accommodate even a small spike in power demand and coal transportation must be planned in advance.
The Central Electricity Authority of India (CEA) has indicated peak high power demand of 214 GW in August. In addition, average energy demand could rise more than in May to 1.33.426 million units.
CREA said the onset of the southwest monsoon would also affect mining and transportation of coal from mines to power plants. If monsoon coal stocks are not replenished to adequate levels, the country could face another power crisis in July-August 2022.
It added that the recent power crisis was not due to coal production, but to distribution and official apathy. The transportation and management of coal was not sufficient to meet the increased demand for electricity. However, the trends show that thermal power plants were not sufficiently supplied, despite adequate coal mining.
India witnessed 777.26 mt of coal production in FY21-22 against 716.08 mt in FY21, up 8.54%.
An analyst at CREA, Sunil Dahiya, said India had a total minable capacity of more than 1,500 mt in FY21-22, while total production was 777.26 mt, about half of its production capacity. If there was a coal shortage in the country, coal companies had the opportunity to ramp up their production.
According to a report, coal stocks in thermal power plants have been declining since May 2020. The main reason for the power crisis last year was the lack of action by power plant operators to stockpile enough coal before the onset of the southwest monsoon. The monsoon floods in the coal mines hamper production and transport to power plants.
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