With Coal India having significantly reduced coal supplies and rail rakes for captive power plants (CPPs), domestic aluminium industry is staring at a meager three-five days coal inventory.
“Despite the FSA (Fuel Supply Agreement), we face this issue of coal supply cut from Coal India almost every monsoon. 2018 and 2019 was no different. What is the purpose of FSA then?” said an aluminium industry official on condition of anonymity.
The aluminium industry CPPs signs FSA with Coal India and its subsidiaries for assured long term coal supply. Any abrupt stoppage of this secured coal supply brings the industry