CIL now set to prioritise coal supply to CPPs

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Kolkata, Dec 31 (PTI): After meeting a spurt in the demand for coal from the power sector, Coal India is set to prioritise on improving supplies to captive power producers to cater to the needs of cement, aluminium and sponge-iron sectors.

CIL is dispatching some 246 coal rakes per-day of which 217-218 rakes are moving to the power sector and the rest to the non-power sector, a top CIL official said.

“We are now focusing on offering additional coal to captive power plants (CPPs). We are now restricting coal supply to power sector to some 217-218 rakes per day and pushing the rest to CPPs and other non-power consumers,” the official told PTI.

Cement plants in the country were facing fuel crisis after petcoke was banned in three states for causing a high level of pollution.

The CIL source said that in addition to the supply through Fuel Supply Agreement, coal is also offered through auctions to provide requisite windows to cement plants for meeting their coal requirement.

“We want to ramp up coal loading from January to 272 rakes per day from our own sources and have already placed requisition for the same with the Railways.”

Supply to industrial consumers are set to increase by 100 per cent from the current level of about 25 rakes per-day, without affecting the despatch to power utilities, the official said.

Till November, some 13 million tonne of additional coal was supplied to the power sector.

In September-November 2017, there was a spurt in demand for thermal power from the power sector as supply from the hydel and nuclear power had slumped.

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