Thermal plants to operate below 53% capacity in FY21 as power demand dips

The Plant Load Factor (PLF) of thermal power stations across the country is projected to dip below 53 per cent in this fiscal. Muted power demand from industrial units and commercial establishments will shrink capacity utilisation, said a study by CARE Ratings.

The Covid-19 induced lockdown, which came into effect from March 25, brought many business activities across the country to a near standstill. Mining was classified as an essential industry and allowed to remain operational through the lockdown period.

However, production was impacted due to a shortage of labour as many left for their native places in the wake of the