Business Standard

Power sector's 'shocking' trinity to create a scorching summer this year

A new crisis is emerging owing to shortages in domestic coal supplies and railway rakes, coupled with rising electricity demand

On April 16, as evening peak time approached, the cost of electricity at the exchange climbed up to Rs 10.31 per unit by 4 pm
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On April 16, as evening peak time approached, the cost of electricity at the exchange climbed up to Rs 10.31 per unit by 4 pm

Subhomoy Bhattacharjee New Delhi
The trinity of mismatch between coal supplies, availability of rail wagons and rising power demand promises to create a scorching summer this year. This trinity has often impacted the Indian economy in the past, but mostly individually. In some years, there was a shortage of coal supplies, as in FY15; in others, it was a shortage of wagons, as in FY13 and FY14; and sometimes, it was the rising demand for power, as in FY21.  

This time, coal production has risen fast, the supply of rail wagons too has risen, but eclipsing them, the demand for power has risen even

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