The Economic Times
12,123.504.5
Stock Analysis, IPO, Mutual Funds, Bonds & More

CIL to raise fuel stock at power plants to 22 days

Following successive months of slowdown, the company has managed to raise average daily production from 1.27 million tonnes in October to 1.8 million tonnes now. This increased stocks at power plants by 64% since October to 28 million tonnes—enough for 17 days. It is almost double last year’s stock position.

, ET Bureau|
Last Updated: Dec 13, 2019, 06.41 AM IST|Original: Dec 13, 2019, 06.41 AM IST
0Comments
Getty Images
coal-mine
KOLKATA: Coal India is hoping to increase fuel stocks at power plants to the prescribed level of 22 days, which requires 36 million tonnes to be stored at generating stations, a company executive said.

Following successive months of slowdown, the company has managed to raise average daily production from 1.27 million tonnes in October to 1.8 million tonnes now. This increased stocks at power plants by 64% since October to 28 million tonnes—enough for 17 days. It is almost double last year’s stock position, which stood at 14 million tonnes, barely usable for nine days.

“We hope to touch Central Electricity Authority’s (CEA) mandated 22 day’s stocks at power plants by January as production at Coal India is on the rise. Stocks at power plants will have to be increased by five days to touch the CEA’s number. It would require a build-up of additional 8 mt of stock at the plants,” a Coal India executive said. “At present, stocks at mine-mouth in CIL is around 22 mt, more than enough for increasing stocks to the necessary level. Combined stock at CIL and power plants stands at around 50 mt this week.”

According to the executive, a 28% month-onmonth increase in Coal India’s October production and a 27% rise in month-on-month November production has enabled the company to increase stocks at power plants.

In an effort to make sure the sector can lift adequate coal, the company has recently decided to offer limited credit facilities by doing away with the advance payment norm.

Also Read

Coal stocks at power plants touch 19 days

2 more power plants lined up for one-time settlement

Govt prepares to auction coal to stressed power plants

Tamil Nadu: Solar power plants bring fame to Coimbatore

Kerala: SmartCity project gives a push to solar power plants

Comments
Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links


Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service