On Monday, the coal ministry announced its intentions to increase coal production to ensure an ample supply for thermal power plants. The proposed measures include the opening of new coal blocks, expanding mine capacities, and extracting coal from captive and commercial mines.

In a statement, the coal ministry outlined its commitment to surpassing domestic thermal power plant requirements, even factoring in potential additional capacity. By 2027, the ministry aims to produce 1,404 million tonnes (MT) of coal, increasing further to 1,577 MT by 2030, up from the current annual production level of around one billion tonnes.

Acknowledging the coal demand for an additional 80 GW of thermal capacity expected by 2030, the ministry estimated a requirement of approximately 400 MT at an 85% plant load factor (PLF). However, the actual demand might be lower, considering contributions from renewable sources.

Current coal supply to domestic coal-based power plants stands at about 821 MT for the current year. Coal stocks have started accumulating at thermal power plants, reaching around 20 MT, while various mines hold a stock of 41.59 MT. The total stock, inclusive of transit and captive mines, is 73.56 MT, reflecting a 12% year-on-year increase from 65.56 MT last year.

Notably, the growth in power generation for domestic coal-based plants recorded an 8.99% increase, while coal production saw a 13.02% year-on-year growth (till date). Over the past three months, the demand for thermal power has surged by over 20% compared to the previous year.