Coal India ramps up supplies to power sector as reserves tighten

Coal India Limited, the nation's dominant coal producer, has intensified supplies to the power generation sector amid growing concerns over fuel availability at thermal plants. Despatches to power utilities climbed 10.6 per cent in September compared with the same month last year, signalling increased effort to meet demand from India's electricity producers.

The acceleration in coal supplies reflects efforts to bolster dwindling inventories at power plants across the country. Early October figures indicate that CIL has maintained the momentum, with daily deliveries remaining robust as the company draws down its own pithead stockpiles to bridge supply gaps.

The move underscores the delicate balance India's power sector must strike between meeting growing electricity demand and securing adequate coal supplies. As thermal power remains central to India's energy mix, steady coal availability is critical for grid stability and preventing generation shortages.

CIL's increased despatch pace suggests the company is prioritising power-sector requirements despite potential strain on its own reserves. The strategy aims to ensure that thermal plants maintain adequate fuel levels heading into the winter months, when electricity demand typically rises across the country.