India to Double Thermal Coal Linkages
COAL & MINING

India to Double Thermal Coal Linkages

India's drive to harness its coal resources is expected to persist, with coal linkage to thermal power projects projected to increase from around 550 million tonnes to 1 billion tonnes. This is significant as India boasts the world's fourth-largest coal reserves and is the second-largest coal producer. The country's coal production is expected to reach 1 billion tonnes this year.

Coal linkages play a crucial role in supplying power plants, with the power sector being the largest consumer of domestic coal in the previous fiscal year, accounting for 84% of total dispatches.

The surge in coal linkages aligns with the government's plans to boost domestic coal production to 1.5 billion tonnes and increase the peak-rated capacity of coal mines to 2 billion tonnes, ensuring that coal production matches demand.

The power sector's peak demand is forecasted to reach 334.8 GW by 2030, well above the Central Electricity Authority's estimate of 230 GW.

While India is actively expanding its renewable energy capacity, coal remains a cornerstone of the power sector, contributing around 75% of the country's electricity generation.

The rise in coal linkage projections comes as India strives to meet its growing power demand while ensuring a consistent supply of coal to power plants. This initiative aims to prevent the near-crisis situations experienced in FY22 and FY23 due to power demand and coal supply mismatch.

Coal India has reported a 12% increase in production so far in the current fiscal year, with 394 million tonnes produced. The power sector has also seen a 4.5% increase in coal supplies to 346 million tonnes during the April-October period.

Despite efforts to boost domestic coal production, the Ministry of Power recently directed power generation companies (gencos) to blend 6% imported coal until March next year due to falling inventory at thermal plants.

As India seeks to increase its renewable energy capacity to 500 GW by 2030, coal is expected to remain a key element of the power sector, ensuring a elestable electricity supply while transitioning to cleaner energy sources.

India's drive to harness its coal resources is expected to persist, with coal linkage to thermal power projects projected to increase from around 550 million tonnes to 1 billion tonnes. This is significant as India boasts the world's fourth-largest coal reserves and is the second-largest coal producer. The country's coal production is expected to reach 1 billion tonnes this year. Coal linkages play a crucial role in supplying power plants, with the power sector being the largest consumer of domestic coal in the previous fiscal year, accounting for 84% of total dispatches. The surge in coal linkages aligns with the government's plans to boost domestic coal production to 1.5 billion tonnes and increase the peak-rated capacity of coal mines to 2 billion tonnes, ensuring that coal production matches demand. The power sector's peak demand is forecasted to reach 334.8 GW by 2030, well above the Central Electricity Authority's estimate of 230 GW. While India is actively expanding its renewable energy capacity, coal remains a cornerstone of the power sector, contributing around 75% of the country's electricity generation. The rise in coal linkage projections comes as India strives to meet its growing power demand while ensuring a consistent supply of coal to power plants. This initiative aims to prevent the near-crisis situations experienced in FY22 and FY23 due to power demand and coal supply mismatch. Coal India has reported a 12% increase in production so far in the current fiscal year, with 394 million tonnes produced. The power sector has also seen a 4.5% increase in coal supplies to 346 million tonnes during the April-October period. Despite efforts to boost domestic coal production, the Ministry of Power recently directed power generation companies (gencos) to blend 6% imported coal until March next year due to falling inventory at thermal plants. As India seeks to increase its renewable energy capacity to 500 GW by 2030, coal is expected to remain a key element of the power sector, ensuring a elestable electricity supply while transitioning to cleaner energy sources.

Next Story
Building Material

Beyond Basics: Unique Ideas for Using Distemper Paint Colours in Your Home

Rohit and Nisha had just moved into their first rented apartment in Pune. The place had everything they wanted. Great sunlight, a tiny balcony, and affordable rent. But the walls? A dull, ugly and patchy beige that made even their colourful paintings look tired. “Let’s colour the walls,” Nisha said enthusiastically. Rohit looked at her with a calculator in hand. “You mean spend half our salary on emulsions?”Just then, their neighbour popped in and said, “I have been using distemper paint on walls for years. It is affordable, looks good, and you can wipe it clean when your friends s..

Next Story
Infrastructure Energy

REC Approves Rs 75 billifor Brookfield’s Hybrid Energy Project

The Rural Electrification Corporation (REC) Ltd, a Maharatna non-banking finance company, has sanctioned Rs 75 billion for Brookfield’s 1,040 MW hybrid renewable energy project in Kurnool district — its largest-ever funding to a private-sector venture.Developed by Evren, a joint venture between Brookfield (51.49 per cent) and Axis Energy, the Rs 99.1 billion project integrates 640 MW of wind and 400 MW of solar power with battery storage. It is India’s first Firm and Dispatchable Renewable Energy (FDRE) project featuring state-level grid connectivity and a dedicated power purchase agreem..

Next Story
Infrastructure Transport

Oswal Energies, Deendayal Port Partner for Green Hydrogen Project

Oswal Energies and the Deendayal Port Authority (Kandla-Gandhidham) have signed a memorandum of understanding (MoU) to jointly develop green hydrogen, green methanol, green ammonia, and a 100 million litres per day (MLD) desalination plant under the National Green Energy Initiative.The Government of India has identified Deendayal Port as one of the strategic hubs for green energy infrastructure. The collaboration aims to strengthen the port’s role in advancing sustainable energy systems, supporting India’s net-zero and energy security goals.Under the MoU, Oswal Energies will lead the devel..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement