The supply of coal to the power sector by state-owned Coal India has dropped 22 per cent to 31.95 million tonnes in April amid slump in the fuel demand in the country on account of COVID-19-induced lockdown. Coal India (CIL) had supplied 40.90 million tonnes (MT) of April, 2019, coal ministry said in a report.
CIL, the world’s largest coal producing company, is a major supplier of the dry fuel to the power sector in India.
The coal supply by state-owned Singareni Collieries Company Ltd (SCCL) to the power sector also dropped by 38.6 per cent to 2.86 MT in April, from over 4.66 MT in the year-ago period, the report said.
With the power sector, a major consumer of the dry fuel, witnessing a drop in fuel consumption amid the lockdown, CIL has shifted its focus to overburden removal — the process of removing the top soil and rock to expose coal seams in its open cast mines.
The enhancement in overburden removal will enable CIL to accelerate production whenever the demand picks up and coal can be supplied to its customers at short notice.