Railways exhausts rake availability capacity causing coal shortage

16 Mar 2022 CW Team

G K Bansal, the railway ministry's executive director for information and publicity, said the ministry improved its waggon turn-around time (WTR) by 16% between September 2021 and February and is working to improve it even more. With a lower WTR, more wagons would be available in a shorter time.

The central power generators NTPC and Damodar Valley Corp, as well as states like Gujarat, Maharashtra, Rajasthan, and Tamil Nadu, have begun to import coal. R K Singh, the power minister, urged private power plants to begin importing 4% of their coal requirements at a meeting last week to review inventory positions at power plants.

However, due to high consumption as a result of increased electricity demand, coal stocks at project heads are not increasing. Due to the Russia-Ukraine crisis, record imported prices of over $200 per tonne have added to the pressure, as 16 GW of imported coal-based capacity is either not operating or underutilised.

According to data from the Central Electricity Authority, coal stocks were at 39% of the normative level mandated by the recently changed norms as of March 10.

The new standards have been criticised by some industry observers as being too high.

81 projects, including 10 imported coal projects and 9 non-operational plants, have critical stocks of less than 25% of the normative stock.

Power plants have a total coal stock of 26 million tonnes, while Coal India mines have a total coal stock of 45 million tonnes.

Railways aim to induct 100,000 waggons over the next two years, with 40,000-45,000 arriving in the first year. To maintain numbers, the condemnation of older waggons based on age has been postponed. In addition to these actions, the railways have identified 66 critical and 58 supercritical capacity enhancement works, as well as 14 coal evacuation projects, all of which are being closely monitored for completion by the end of the year.

Image Source

Also read: Indian Railways aims to achieve net-zero carbon emission by 2030

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

Indian Railways admitted that it has exhausted its rake availability capacity in a recent meeting chaired by cabinet secretary Rajiv Gauba. According to the media, Coal India and the railways are operating at record levels to ensure adequate inventory build-up at power plants. G K Bansal, the railway ministry's executive director for information and publicity, said the ministry improved its waggon turn-around time (WTR) by 16% between September 2021 and February and is working to improve it even more. With a lower WTR, more wagons would be available in a shorter time. The central power generators NTPC and Damodar Valley Corp, as well as states like Gujarat, Maharashtra, Rajasthan, and Tamil Nadu, have begun to import coal. R K Singh, the power minister, urged private power plants to begin importing 4% of their coal requirements at a meeting last week to review inventory positions at power plants. However, due to high consumption as a result of increased electricity demand, coal stocks at project heads are not increasing. Due to the Russia-Ukraine crisis, record imported prices of over $200 per tonne have added to the pressure, as 16 GW of imported coal-based capacity is either not operating or underutilised. According to data from the Central Electricity Authority, coal stocks were at 39% of the normative level mandated by the recently changed norms as of March 10. The new standards have been criticised by some industry observers as being too high. 81 projects, including 10 imported coal projects and 9 non-operational plants, have critical stocks of less than 25% of the normative stock. Power plants have a total coal stock of 26 million tonnes, while Coal India mines have a total coal stock of 45 million tonnes. Railways aim to induct 100,000 waggons over the next two years, with 40,000-45,000 arriving in the first year. To maintain numbers, the condemnation of older waggons based on age has been postponed. In addition to these actions, the railways have identified 66 critical and 58 supercritical capacity enhancement works, as well as 14 coal evacuation projects, all of which are being closely monitored for completion by the end of the year. Image Source Also read: Indian Railways aims to achieve net-zero carbon emission by 2030

Infrastructure Energy

25 Jun 2026

Centre Prioritising Energy Security With Coal Gasification

Union minister for Coal and Mines G Kishan Reddy said the Centre is prioritising energy security through a strategic shift to coal gasification and has announced incentives totalling Rs 460 billion (bn) to support the effort. He said more than 35 companies will start coal gasification activities in India within two months and that the government is encouraging firms that bring technology to close the domestic technology gap. The minister described the initiative as aimed at reducing import dependence and developing indigenous capacity. India has the fifth-largest coal reserve in the world, and..

Infrastructure Urban

25 Jun 2026

BHEL and Coal India Invest Rs 250 bn in Odisha Gasification

Bharat Heavy Electricals (BHEL) and Coal India (CIL) are jointly investing Rs 250 billion in a coal gasification project in Odisha, with the Prime Minister laying the foundation stone in Jharsuguda. Union Coal and Mines Minister G Kishan Reddy described the initiative as a transformative shift in coal utilisation that will open industrial avenues for the state. The project moves coal beyond conventional power generation to industrial feedstocks. Coal gasification will convert coal into synthesis gas, a versatile feedstock for chemicals, fertilisers and synthetic fuels, and the technology is ex..

Infrastructure Energy

25 Jun 2026

BCCL Hands Over Dugdha Coal Washery To JSW Steel

Bharat Coking Coal has handed over the Dugdha Coal Washery to JSW Steel, marking the first coal washery asset monetisation under the Ministry of Coal's asset monetisation programme. The handover took place in the presence of senior officials from Bharat Coking Coal Ltd, JSW Steel and JSW Energy. The washery has a capacity of two million tonnes per annum (mn t per annum), and its transfer is intended to introduce private sector practices into coal beneficiation operations. The monetisation is aimed at modernising coal sector assets, improving operational efficiency and enhancing resource utilis..