CIL allows extra coal lifting as 57 thermal plants face critical stocks on Sep 4

Coal India Limited (CIL) has permitted power plants holding fuel supply pacts with the state-run miner and its subsidiaries to draw coal beyond contracted annual volumes, as stocks at thermal power plants in India continued to fall, the Times of India reported on September 6.

Central Electricity Authority data showed that 57 power plants were operating with critically low coal stocks on September 4. Total available inventories stood at 27.1 million tonnes, which is 47% of the normative requirement of 57.7 million tonnes. The Times of India reported on September 5 that 50 out of 190 coal-fired power plants held less than a quarter of the recommended fuel inventory.

The coal ministry indicated that conditions were expected to improve, since heavy rainfall over coal-producing regions was showing clear signs of weakening, while output and supplies of the fuel from CIL mines were gaining momentum.

Despite extended rain spells through July and August, especially across east-central India, CIL sustained steady deliveries. Over April-August of the current fiscal year, the company supplied 322.9 million tonnes of coal, up 6.7% from 302.6 million tonnes in the same period last year, the ministry said.

It added that supplies to the power sector in August 2026 rose by 4.5% year on year to 48.46 million tonnes. CIL was holding a buffer stock of 76 million tonnes at pitheads, along with another 46 million tonnes classified as ready-to-mine.

The ministry added that wet and sticky coal beds were drying out, which made freshly mined coal easier to move, handle and load. Coal seams at lower mine levels that had been submerged were also resuming production.

Average daily coal output climbed from 1.4 million tonnes during the rain-hit first three days of September to nearly 1.7 million tonnes on September 4, following just one day of reduced rainfall, the ministry said.

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