India’s energy crisis forces metal makers to import fuel

11 May 2022 CW Team

India’s battling an energy crisis that is threatening to cut production in the world’s biggest sponge iron industry. The coal crisis in India has forced producers of sponge iron, a steelmaking feedstock to hunt for supplies overseas in order to keep their mills running. Importing the supplies is adding to inflationary pressures as they turn to pricier.

Industries are running out of the fossil fuel, as state-run behemoth Coal India diverts most of its output to power plants to keep the lights on amid worsening blackouts. The situation has been made worse as global coal prices have surged on tight supply, adding to the persistent inflation pressures in the country.

In the central state of Chhattisgarh, a hub for iron ore and steel-making, sponge iron makers are running at about 60 per cent of usual levels, the Chhattisgarh Sponge Iron Manufacturers Association said last month.

As per reports, Jindal Steel & Power, which is running its sponge iron plants at 40 per cent capacity as it doesn’t have enough of the fossil fuel, has contracted orders for 150,000 tons of thermal coal each for the months of May and June from South Africa and Mozambique.

India’s sponge iron industry may ship in as much as 35 million tons of coal this financial year, 30 per cent more than a year earlier, according to the Sponge Iron Manufacturers Association reports. Sponge iron is a steel-making raw material produced after heating iron ore at high temperatures using carbon in the form coal or gas.

The country should also speed up environmental clearances and set a production deadline for miners that have won leases in auctions to bring more output quickly. The faster the mines start production, the better it is for the country.

Infrastructure Urban

06 Apr 2026

CFI Appoints New National Council for FY27 and FY28

The Construction Federation of India (CFI) has announced its newly elected National Council and office bearers for a two-year term covering FY27 and FY28. M. V. Satish, Advisor to CMD and Lead Ambassador for Middle East, L&T, has been elected President; Priti Patel, Chief Strategy & Growth Officer, Tata Projects, has been appointed Vice President; and Ajit Bhate, Managing Director, Precast India Infrastructures, has taken charge as Treasurer.The newly formed National Council brings together senior leaders from major EPC and infrastructure companies, reflecting CFI’s continued focus o..

India REIT Market Gains Momentum with Strong Returns

India’s Real Estate Investment Trust (REIT) market is witnessing strong growth, emerging as a competitive investment avenue both domestically and across Asia. According to a recent ANAROCK report released at EXCELERATE 2026 by NAREDCO Maharashtra NextGen, the sector is evolving into a mature asset class driven by solid fundamentals, regulatory backing and rising investor confidence.The introduction of Small and Medium REITs (SM REITs) in 2025 has further widened access through fractional ownership, unlocking a potential monetisation opportunity of Rs 670–710 billion. Indian REITs have deli..

G R Infraprojects Secures Rs 4,130 Million BESS Contract From NTPC

G R Infraprojects said it has secured a contract from NTPC to supply and implement a battery energy storage system (BESS) valued at Rs 4,130 million (mn). The company reported the order was awarded as part of NTPC's ongoing efforts to enhance grid flexibility and energy storage capacity. The contract represents a notable addition to the firm's project pipeline and underscores demand for utility scale storage solutions. The award is expected to strengthen G R Infraprojects' presence in the energy infrastructure sector and to contribute to the firm's order book and future revenues, subject to st..