Captive coal mine companies get seven days to increase production

To improve coal supplies to thermal power plants, the government has given seven days to captive coal mines companies to increase the production to over 85 per cent of their targets, an official release said on Monday.

The government has warned to regulate supply of linkage coal to such states/generation companies if the companies fail to improve their production, the Ministry of Power said in the release.

The decision was taken at a meeting held by Union Power Secretary Alok Kumar on Monday to review coal stock position at thermal power plants, and the production of coal from captive coal mines.

"Captive coal mine companies have been given a notice of one week to increase their production to more than 85 per cent of their targets. If they fail, the supply of linkage coal to such states/Gencos would be regulated," the release said.

It was also decided that those states/DISCOMS (distribution companies) that procure power from imported coal based power plants have been given a notice of two weeks to meet their power demand from these power plants.

In case of failure, the supply of domestic coal to these states would be regulated.

According to the release, power plants having coal stock of more than 10 days but where plant load factor is less than 40 per cent, coal supply would be regulated to the extent of 100 per cent.

"The coal supply to the power plants having coal stock of more than 18 days will also be regulated to the extent of 100 per cent. The coal supply to the power plants having coal stock ranging from 11 days to 18 days and having PLF more than 40 per cent, will be regulated to the extent of 50 per cent," it said.

According to the Central Electricity Authority, as of September 5, as many as 86 power plants with total production capacity of 109,327 MW had critical coal stock position of less than eight days. While four plants with total 7,220 MW capacity had zero days of stocks.