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CIL to supply coal by road to power plants located at shorter distance- Goyal

In a bid to meet the coal requirement of powerhouses, Coal India (CIL) subsidiaries have offered to supply the fuel by using road networks from available pithead stock to plants located within 60 km from the nearest mines, Parliament was informed today. 

The dispatch through road during the April-October period of 2017-18 increased by 12 million tonnes (MT) over the dispatch of 81 MT in the corresponding period of 2016-17, Union Coal Minister Piyush Goyal said in a written reply to the Lok Sabha. 

The minister said that "in order to meet the coal requirement of powerhouses, the subsidiary companies of Coal India has offered supplying coal through road mode from available pithead stock to the power plants which are located within 50 km to 60 km from nearest mines". 

On November 1, 2017 CIL had also launched 'Grahak Sadak Koyla Vitaran App' aimed at benefiting customers who are supplied coal by road, he added. 

In a separate question, the minister said that coal to the power sector is supplied under the fuel supply agreement (FSA) as per the mode convenient to power plants. 

"For non-power consumers, a dispensation for change of mode from rail to road has been extended by CIL," Goyal said. 

"Coal India is ready to supply fuel through the network of roads. Coal India at present has a stock of 50 million tonnes (MT)," a source had told yesterday. 

Not all that is produced is supplied even when the demand is rising, the source said adding that there is neither shortage of coal nor lack of demand from power producers but the power plants are unable to get coal because of supply issue. 

The country is heading towards becoming a power surplus nation. The demand for coal from power plants is also rising but due to the limited source of supply the plants at long distances from mines are facing supply issues which need to be addressed, another source said. ABI MKJ