Lagatar24 Desk
New Delhi, Oct.13: The central government is ready to accommodate the demand for coal by states, power firms, and railways, despite concerns of a coal scarcity in the country. The administration plans to increase coal production from 1.94 million to 2 million tonnes per day within a week. According to government sources, there is no deficit in the daily delivery of coal to states and power firms, and the government maintains a five-day supply. The situation will return to normal in a month, according to the sources.
“Since January, the coal ministry has been writing to various states to pick up and stock coal in their respective states, but no one has paid attention,” a government source said of the purported coal shortage. “Coal India is allowed to stockpile up to a certain amount of coal. There is a risk of fire if we stockpile more coal than the limit.”
“Rajasthan, West Bengal, and Jharkhand all have coal mines, but they haven’t done anything with them. Despite clearances, some state administrations are said to have delayed on decisions, citing COVID-19 and rainfall as reasons for not doing enough mining.”
The mining industry has been harmed by the prolonged monsoon, and the skyrocketing prices of imported coal have also contributed to the current scenario.
Imports of international coal, which power firms blend, have decreased by 12%, and they have turned to domestic coal to reduce losses caused by high pricing.
Coal India owes states a large amount of money. Maharashtra, Rajasthan, Madhya Pradesh, Karnataka, West Bengal, and Tamil Nadu are among the worst defaulters, according to authorities. Coal India has dues of Rs 20,000 crores that must be paid by all states.
Despite substantial quantities owed, government sources claim that supply continues and will continue to provide power and coal.
Village electrification and industrialization have also boosted demand. According to ANI, coal plants in Ropar and Bhatinda were shut down by Delhi and Punjab.
