Amid rising constraints in the availability of coal from Coal India Limited and its associate companies, state-run Maharashtra State Power Generation Company (MahaGenco) has decided to increase the import of coal. To start with, MahaGenco, whose plants faced a decline in generation last week, has floated a tender for the import of 0.2 million tonne (mt) of coal.
The company may also consider an additional import of up to 1 mt of coal. MahaGenco, with an installed capacity of 7,500 Mw, has a total requirement of 45 mt, of which it imports four-five mt.
The move is crucial, as the state is facing a shortage of power for want of coal, owing to the Telengana agitation and the reduced coal supply from Coal India and its associate companies. The power shortage also led to incidents of damage and attack on the properties of Maharashtra State Electricity Distribution (MahaVitaran) during the last 12 days. However, the situation is now under control, as MahaVitaran has managed to secure about 1,200 Mw from various sources.
A MahaGenco official told Business Standard, “We are aware that the supply of coal is expected to become a major issue in the days to come and therefore, we are looking at the possibility of more imports. New plants can absorb more quantity of imported coal, unlike old plants, which have limitations in this regard.” He, however, added increased coal prices and restrictions imposed by several coal-rich countries, including Australia, South Africa, Mozambique and Indonesia, are issues which needed to be considered while deciding to import additional coal.
The official also said domestic coal was priced at Rs 1,600-2,000 per tonne, while imported came at a price of Rs 5,000 per tonne.
He added MahaGenco’s power plants, which would have a capacity of 2,000 Mw, would be operational by 2013.
