New Delhi: Eight industry bodies representing fertilizer, aluminium, textile, sponge iron and captive power producers have jointly appealed to the Prime Minister. Narendra Modi To restore normal coal supply, it said, adding that the continued shortage of fuel has put many industries in peril.
The situation has worsened over the past few weeks due to further cuts in supply by rail, rail-cum-road and road, bringing many units to the brink of closure, especially in the non-regulated areas of coal. consuming units (NRS), the associations said in their joint letter to the PM.
“This adverse situation that started around August/September last year became more difficult as coal stocks in many plants fell below critical levels. The demand-supply ratio showed signs of improvement during November 202. However, the supply of coal to NRS consumers including CPP (Captive Power Plant) has once again declined despite October-March being the highest production month. Coal India LimitedThe letter said.
It said the coal requirement of the non-regulated sub-sectors is 25-30% of the total domestic coal production. Fertilizers being a regulated industry is also suffering as it is dependent on domestic coal. Pointing out that the government’s focus on power producers has helped increase fuel stocks at generating stations, the letter questions the logic of continuing cuts in supply to non-power sectors, when Coal India’s production has grown by 7% .
The unions also pointed out the shortage of rakes for non-power sectors and said there was a supply backlog of 4,000 rakes from Coal India. The letter said that the shortage of supply in rakes has forced many continuous process industries to resort to transport by road, which is proving to be inadequate.
After a large number of power plants ran dangerously low on fuel last year, the government cut coal supplies to captive power plants and other non-electricity consumers to quickly stockpile fuel at generating stations. Supply to non-power sectors is still short, though the government claims there is no shortage.
The situation has worsened over the past few weeks due to further cuts in supply by rail, rail-cum-road and road, bringing many units to the brink of closure, especially in the non-regulated areas of coal. consuming units (NRS), the associations said in their joint letter to the PM.
“This adverse situation that started around August/September last year became more difficult as coal stocks in many plants fell below critical levels. The demand-supply ratio showed signs of improvement during November 202. However, the supply of coal to NRS consumers including CPP (Captive Power Plant) has once again declined despite October-March being the highest production month. Coal India LimitedThe letter said.
It said the coal requirement of the non-regulated sub-sectors is 25-30% of the total domestic coal production. Fertilizers being a regulated industry is also suffering as it is dependent on domestic coal. Pointing out that the government’s focus on power producers has helped increase fuel stocks at generating stations, the letter questions the logic of continuing cuts in supply to non-power sectors, when Coal India’s production has grown by 7% .
The unions also pointed out the shortage of rakes for non-power sectors and said there was a supply backlog of 4,000 rakes from Coal India. The letter said that the shortage of supply in rakes has forced many continuous process industries to resort to transport by road, which is proving to be inadequate.
After a large number of power plants ran dangerously low on fuel last year, the government cut coal supplies to captive power plants and other non-electricity consumers to quickly stockpile fuel at generating stations. Supply to non-power sectors is still short, though the government claims there is no shortage.
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