Coal stocks at 66 thermal plants hit critical levels as demand surges

Coal inventories at thermal power generation facilities have fallen to critical levels, with 66 plants now facing stock constraints amid sustained high electricity consumption. The depletion of reserves reflects a confluence of factors pressuring the nation's coal supply chain during a seasonally challenging period.

Robust electricity demand has accelerated coal consumption at thermal plants, while simultaneously, hydropower generation has remained subdued due to monsoon-related weather patterns. This has left thermal facilities bearing a heavier load in meeting the country's power requirements, draining their stockpiles more rapidly than anticipated.

Domestic coal production has also taken a hit during the monsoon months, limiting the replenishment of supplies. The seasonal downturn in mining output, combined with elevated demand and weak alternative generation sources, has created a supply-demand imbalance that has left a significant number of thermal plants operating with inadequate coal reserves.

The situation underscores growing pressure on India's power infrastructure as the country continues to expand electricity access and support industrial growth. Power sector officials are monitoring the situation closely as thermal plants work to maintain generation capacity while stocks remain constrained.