The world’s largest coal producer Coal India Ltd has seen a 6.2 per cent rise in offtake during the first two months of the current financial year, propelled by an increase in the number of rake availability.
“In April-May 2012, average loading per day was about 180.8, compared to 167.3 rakes for the same period during the financial year 2011-12. In the month of May only, offtake increased to 38.78 million tonne(MT), compared to 35.22 MT during the same period last financial year,” a top company official said.
During the first two months of the current financial year, the coal major’s offtake increased to 76.53 MT, compared to 72.08 MT during the same period last fiscal. Coal production also saw a 5.7 per cent increase to 69.38 MT, compared to 65.67 MT during the previous fiscal. “This is more than the target we had set of 68.82 MT,” he said. During the period under review, additional offtake has also helped the Kolkata-based company to reduce its coal stocks by 7 MT.
Meanwhile, the firm has signed fuel supply agreements (FSAs) with 17 power units commissioned after March 2009, till now. After the Presidential directive, the firm had gone back to imports as a strategy to meet the target. However, the penalty clause of 0.01 per cent of the value of shortfall, if the firm fails to deliver 80 per cent of the committed coal, had invited ire from power firms. Some power firms, including NTPC had refused to sign FSAs as they found the clauses in draft agreement were not acceptable to them.
“The company would now have to sign pacts with an additional 81 units of 41,000 MW capacity, including those commissioned between January 2012 and March 2015. The 81 units would take the entire requirement to around 170 Mt, another top company executive said. Around 60,000 MW of fresh power capacity is likely to come on stream by 2016 requiring 252 Mt coal. This, added to the existing linkages of 305 Mt, takes CIL’s supply obligation to 557 MT,” a top company official said.