India to encounter another power crisis in July-August: Report

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• May 30, 2022 | Kabir Chakraborty

It also stated that the recent power crisis in the country was due to "distribution and official apathy" and not coal production.

mso-fareast-font-family:"Times New Roman";color:#222222">Digital Desk: "Times New Roman";color:#222222"> Independent
research organisation, Creating
Resources for Empowerment in Action (CREA) has said that a lower pre-monsoon
coal stock at thermal power plants in India is suggestive of another power
crisis in July-August. The current coal stock stands at 13.5 million tonnes at
pithead power stations and 20.7 MT cumulatively at all power plants across the
country.

color:black;mso-themecolor:text1">As per data from official sources, the coal
power plants are not in a position to address even a minor spur in power demand
and that there is a need to plan for coal transportation in advance.                                                  

The
Central Electricity Authority of India (CEA) has predicted a peak power demand
of 214 GW in August. Additionally, the average energy demand could also
increase to more than what it is in the month of May.

CREA
said that the arrival of the southwest monsoon will further hamper mining and
transportation of coal from mines to power stations. If coal stocks are not
replenished to sufficient levels before the monsoon, the country might be
witnessing yet another power crisis in July-August 2022.

color:black;mso-themecolor:text1">It also stated that the recent power crisis
in the country was due to "distribution and official apathy" and not
coal production.

color:black;mso-themecolor:text1">It is apparent from the data that coal transportation
and management were not enough to keep up with the increased demand from the
power sector. "The trends show that thermal power stations were not sufficiently
stocked in spite of adequate coal mining.

India
witnessed a record coal production of 777.26 million tonnes (MT) in the
financial year 2021-22 as against 716.08 MT in FY21, an increase of almost 8.55
percent.

color:black;mso-themecolor:text1">The country had a total mineable capacity of
over 1,500 MT in FY 21-22 while the total production stood at 777.26 MT,
approximately just half of its production capacity. Therefore, if there was a
real coal shortage, coal companies had the option of simply increasing
production, Sunil Dahiya, an analyst at CREA, explained.

color:black;mso-themecolor:text1">"The prime reason for the power crisis previous
year was mainly because of the inactiveness of power plant operators to stock
adequate coal before the onset of the southwest monsoon. The timing is crucial
as the monsoon floods coal mines, causing impediment to the production and
transport to power stations," the report stated.