Coal shortage pinches power generation

Coal shortage in the recent past at National Thermal Power Corporation's (NTPC) plants at Talcher, Kehelgaon and Farakka have led to declining power generation.

This will hit the plant load factor at these units and this was likely to reflect on the bottom line as well as the topline of NTPC.

The three units of NTPC are at present running on merely a days coal stock which according to the central ministry is considered to be the critical mode.

Coal is supplied to these power plants from Coal India (CIL) subsidiaries Eastern Coalfields and Mahanadi Coalfields.

The normal practice is to stock seven days of coal requirement. Sources at NTPC said that plant load factors at these units have come down by 10-20 per cent each owing to coal shortage.

Farakka which runs on a plant load factor of 70 per cent is at present running on a plant load factor 60 per cent.

The NTPC units at Kehelgaon was running at 80 per cent.

The power stations at Talcher was running at 90 per cent, but then the normal PLF there was 98 per cent, according to officials from NTPC.

Talcher, Kehelgaon and Farakka have generation capacities of 2,500 MW, 840MW and 1,600MW respectively.

Coal to the Talcher unit is supplied by MCL from its Lingraj mines while Kehelgaon and Farakka receive coal from ECL's Rajmahal mines.

"Although Coal India has been supplying the linkage volumes, plant load factors have dwindled because of demand. Increased demand for electricity have resulted in stocks declining to merely a day," explained officials.

Although CIL is trying to increase coal production at its mines, there has been little improvement on the availability front.

In a parallel development, NTPC has offered to take over mines situated at North Karanpura near Ranchi. Coal India had identified these blocks and the central government has very recently initiated the process of allotting papers to bidders.

NTPC had earlier last year decided to enter the coal mining segment in joint venture with a private party "" delay on the part of the government in allotting a block to NTPC has resulted in shortage of coal "" the prime raw material for power generation.