India On Verge Of Another Power Crisis In July-August: Report
According to CREA, an independent research organisation, a decline in pre-monsoon coal storage at thermal power plants in India forecasts another power crisis in July-August.
New Delhi: A decreased pre-monsoon coal stock at thermal power plants in India suggests another power crisis in July-August, according to CREA, an independent research organisation. The present coal supply in pithead power stations is 13.5 million tonnes, with a total of 20.7 million tonnes at all power plants around the country, news agency PTI reported.
"The data compiled from official sources suggest that the coal power plants are in no position to address even a minor spike in the power demand and there is a need to plan for coal transportation well in advance," Centre for Research on Energy and Clean Air's (CREA) latest report 'Failure to load: India's power crisis is a coal management crisis' was quoted by PTI in its report.
The Central Electricity Authority of India (CEA) forecasts 214 GW of peak power consumption in August. Furthermore, average energy consumption might rise to 1,33,426 million units, up from 1,33,426 million units in May. (MUs).
"The onset of the southwest monsoon will further hamper mining and transportation of coal from mines to power stations... If coal stocks are not replenished to adequate levels before monsoon, the country might be heading towards yet another power crisis in July-August 2022," CREA said.
It also claimed that the country's recent power issue was caused by "distribution and official indifference" rather than coal output.
"It is evident from the data that coal transportation and management was not sufficient to keep up with the increased demand from the power sector... The trends show that thermal power stations were not adequately stocked despite adequate coal mining," it said.
In the fiscal year 2021-22, India produced 777.26 million tonnes (MT) of coal, an increase of 8.54 percent from 716.08 MT in FY21.
In FY 21-22, the country had a total mineable capacity of about 1,500 MT, but total output was just 777.26 MT, or almost half of its production potential. As a result, if there was a true coal shortage, coal companies could easily increase production, according to Sunil Dahiya, an analyst at CREA.
"The current situation is not something that started in the recent past... Coal stock at power stations has been reducing consistently since May 2020, barring a few months in between. The primary reason for the power crisis last year was the inaction of power plant operators to stock adequate coal before the onset of the southwest monsoon. The timing is crucial as the monsoon floods coal mines, hampering their production and transport to power stations," the report reads.
(With PTI Inputs)
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