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NTPC to Buy 10-15 mn t Coal from Commercial Miners in FY27
POWER & RENEWABLE ENERGY

NTPC to Buy 10-15 mn t Coal from Commercial Miners in FY27

State-run power producer NTPC plans to procure 10-15 mn t of coal from privately owned commercial mines in FY27 to meet its fuel requirements, according to a source. The move is intended to improve coal availability for electricity generation as several power plants face critically low stocks. NTPC has also discussed potential supplies with NLC, the source said.

The coal is expected to come from commercial mines in Odisha and West Bengal. NTPC’s plants are operating at a plant load factor (PLF) of 75-76 per cent, indicating the proportion of their available generation capacity being used. The company is India’s largest power generation utility and has more than 90 gigawatts (GW) of installed capacity.

NTPC expects its coal requirement to reach about 300 mn t in FY27, an 11 per cent increase from FY26. In FY26, Coal India and Singareni Collieries Company jointly supplied 215.9 mn t, while commercial mines provided 6.4 mn t and captive sources contributed 47.7 mn t. In FY25, NTPC’s coal demand stood at 280 mn t, including 226.7 mn t from Coal India and Singareni Collieries Company, 44.9 mn t from captive sources, and 11.6 mn t from commercial mines and imports.

NTPC sources coal from Coal India under long-term fuel supply agreements. The company reported year-on-year growth of about 13 per cent in power generation during July-September, producing 117.9 bn units compared with 104.4 bn units in the corresponding period a year earlier.

Official data showed that 90 of 191 power plants, with combined capacity of about 225 GW, were in the critical coal stock category as of October 5. Their combined stock was 20.58 mn t against a requirement of 61.17 mn t. A plant is classified as critical when its coal stock falls below 25 per cent of its normal level, while daily requirements are calculated using 85 per cent of PLF or capacity utilisation.

State-run power producer NTPC plans to procure 10-15 mn t of coal from privately owned commercial mines in FY27 to meet its fuel requirements, according to a source. The move is intended to improve coal availability for electricity generation as several power plants face critically low stocks. NTPC has also discussed potential supplies with NLC, the source said. The coal is expected to come from commercial mines in Odisha and West Bengal. NTPC’s plants are operating at a plant load factor (PLF) of 75-76 per cent, indicating the proportion of their available generation capacity being used. The company is India’s largest power generation utility and has more than 90 gigawatts (GW) of installed capacity. NTPC expects its coal requirement to reach about 300 mn t in FY27, an 11 per cent increase from FY26. In FY26, Coal India and Singareni Collieries Company jointly supplied 215.9 mn t, while commercial mines provided 6.4 mn t and captive sources contributed 47.7 mn t. In FY25, NTPC’s coal demand stood at 280 mn t, including 226.7 mn t from Coal India and Singareni Collieries Company, 44.9 mn t from captive sources, and 11.6 mn t from commercial mines and imports. NTPC sources coal from Coal India under long-term fuel supply agreements. The company reported year-on-year growth of about 13 per cent in power generation during July-September, producing 117.9 bn units compared with 104.4 bn units in the corresponding period a year earlier. Official data showed that 90 of 191 power plants, with combined capacity of about 225 GW, were in the critical coal stock category as of October 5. Their combined stock was 20.58 mn t against a requirement of 61.17 mn t. A plant is classified as critical when its coal stock falls below 25 per cent of its normal level, while daily requirements are calculated using 85 per cent of PLF or capacity utilisation.

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