India warns of fuel-supply cuts to utilities if coal imports delayed

Most state-run utilities are debt-laden and will have to import more coal to fire their power plants due to reduced local supply

India's power ministry on Wednesday said it would cut domestic fuel supply to state government-run utilities by 5% if they do not import coal for blending by June 15, as officials struggle to address rising power demand.

A heatwave pushed power use to a record high in April, leading to the worst electricity crisis in more than six years and forcing India to reverse a policy to slash coal imports.

"If blending with domestic coal is not started by 15.06.2022 then the domestic allocation of the concerned defaulter thermal power plants will be further reduced by 5%," the power ministry