New Delhi, March 22 (IANS) The volume of coal imported for blending by thermal power plants has seen a significant reduction of 36.69 per cent, amounting to 19.36 million tons (MT) during April 2023 to January 2024, compared to the previous year. This shift signifies a move towards utilising domestic coal and reducing dependency on imports.
On the other hand, there has been a notable increase of 94.21 per cent in coal imports by imported coal-based power plants during the same period. The growth in imports is attributed to the sharp decline in international prices of the fuel, prompting these power plants to rely more on imported coal.
India primarily imports thermal coal from South Africa and Indonesia, with average prices from these countries decreasing by approximately 54 per cent and 38 per cent respectively during the mentioned period. This decline in prices has contributed to the increase in coal imports by imported coal-based power plants.
The share of coal import in the total coal consumption in the country has also decreased, dropping to 21 per cent during April 2023 to January 2024 from 22.48 per cent in the corresponding period of the previous year. This reduction reflects a positive trend towards using more domestic coal resources.
Furthermore, there has been a significant reduction in the auction premium received by Coal India Limited (CIL) over the notified price of coal. The premium decreased from 278 per cent in the previous fiscal year to 82 per cent during April 2022 to January 2023 in the fiscal year 2023-24, indicating ample availability of coal in the market.
Overall, the coal industry in India is experiencing shifts in import trends and pricing dynamics, impacting both thermal power plants and coal companies. This trend highlights the importance of domestic resource utilization and the impact of international pricing on coal imports in the country.
