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India must step up coal imports to avoid a repeat of last year's crisis

Unreliable domestic dispatches prompt customers to either pay more for imports or stop operations

coal, coal imports
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Crisil expects thermal coal imp­orts to grow as much as 15 per cent this year from 2021 at 180-190 mt

S Dinakar New Delhi
The year has hardly dawned but tussles over supply and transport of coal have alre­ady erupted, perhaps pointing to another volatile year of fuel supp­lies to generators from state-run Coal India (CIL), and a feeling of deja vu for generators — which are still nursing their way out of low stocks. Clashes between generators and CIL and the Indian Railways doesn’t bode well for an economy looking to grow at over 8 per cent because coal-fired generation is the key to lubricating India’s growth for the next few years.

In short, India must step up coal imports and fix unreliable logistics