India faces no coal shortage despite demand surge, monsoon impact: Reddy

India's coal supply remains robust despite a significant uptick in thermal power demand and monsoon-related disruptions to mining operations, according to Union Coal and Mines Minister G Kishan Reddy. Speaking at the Assocham-organised Angul Aluminium Roadshow, Reddy stated the government was meeting power plant requirements through both rail and road transport networks.

Thermal power demand has surged by approximately 12-15 per cent as hydroelectric generation has declined due to seasonal factors, placing additional pressure on coal-fired generation capacity. The monsoon season has also hampered coal extraction operations across mining regions.

Reddy clarified that temporary logistical challenges resulting from weather disruptions should not be mistaken for a systemic shortage. "The situation is normal. There is no tension," he said when addressing reports of coal scarcity at thermal power plants.

The minister's statement comes as the power sector contends with seasonal complexities that periodically stress fuel supply chains. The government maintains it has sufficient coal stocks and supply mechanisms in place to meet the elevated demand from the electricity generation sector.