37,700 MW of power plants left with 1-5 days of coal stock
Source: The Economic Times,
June 28, 2019
Thermal plants with a capacity of 37,700 MW are left with coal stocks enough to generate power for barely 1-5 days because of higher demand for electricity.
These power stations are not being regarded as plants with “critical” stocks because Coal IndiaNSE -0.66 % has supplied almost their full quota. There are a few plants which have received more than their contracted quantity for the period.
Plants are marked critical when Coal India or the railways have issues in sending coal to these plants. They receive special attention from the government, which tries to send additional quantities to these plants to replenish stock positions.
According to fuel supply agreements, a set of plants are to receive at least 90% of their annual contracted quantity and the rest would receive 75% of the contracted quantity. Almost all plants with low stocks have received between 63% and 124% of their annual contracted quantities.
Data compiled by the National Load Despatch Centre shows demand for power has risen 6-7% this year and is hovering around 170 Gw each day of this month. During June, supplies from wind power generators declined around 15% against May this year, while supplies from solar and hydel increased 52% and 5% respectively, requiring coal-fired power generators to increase supplies by 9% during the month, prompting them to use up stocks.
Rajesh K Mediratta, director of business development at Indian Energy Exchange, said power offered at the Exchange in the evening peak and night hours was less than the demand, which raises prices. Currently, average prices during evening peak are around Rs 5.24 per unit while those for night supplies are around Rs 4.40 per unit. For rest of the day, supply exceeds demand, which has bought down average price to Rs 4 per unit. Average price during May this year was Rs 3.34 per unit.
He said power demand is rising due to increased consumption by urban and rural households. Urban residences are using more electricity to run air conditioners while those in rural India have started using gadgets.
News Source: The Economic Times