India has 123.7 million tonnes (MT) of coal stocks, sufficient for about 51 days at the current consumption rate of 2.4 MT a day, Union Coal and Mines Minister G Kishan Reddy said on Tuesday, seeking to allay concerns over fuel availability even as coal-based electricity generation rose sharply this fiscal.

Of the total inventory, around 100 MT is available at mines and in transit, while thermal power plants hold another 23.7 MT, Reddy told reporters.

He further said that production and supplies would improve as the rains subside. 

“There was a period of around 10 days when due to rains supplies were impacted. Now production is increasing. I can confidently tell we will be able to meet the requirement of power plants 100% going ahead. We are monitoring the situation on a continuous basis. As rains have subsided in the past two-three days, production has increased. So, there is no need to worry,” the minister said.

Coal supplies to the power sector increased 4.5% year-on-year to 346.72 MT during April-August 2026, compared with 331.70 MT in the corresponding period last year.

The higher supplies come amid a much sharper increase in thermal generation. Coal-based electricity generation rose 9.1% to 535.8 billion units (BU) during April-August from 491.2 BU a year earlier, driven by stronger power demand under El Niño conditions and an 11% decline in hydropower generation.

The government is also making additional coal available to power plants through road transport to supplement rail supplies and meet the increased requirement, Reddy said.

Coal availability and supplies to generating stations are being reviewed on a daily basis through coordination between the ministries of coal, power and railways, as the government seeks to maintain uninterrupted fuel supplies despite the rise in coal-fired generation and weaker hydro output.

The stock position assumes significance after inventories at a number of thermal stations came under pressure in recent days, prompting an increase in coal movement to generators. The government has maintained that overall availability remains adequate despite the stress at individual plants.

Reddy was speaking at a Coal Ministry event where the government also launched the first sector-wide CSR framework for Indian coal companies. The framework, applicable to public and private coal companies, introduces a 12-stage annual planning cycle and 141 monitoring indicators, including 91 output-based and 50 outcome-based indicators.

At the event, Reddy said Coal India has spent over ?6,000 crore on CSR over the past decade across healthcare, education, livelihoods and community development.

Source: Financial Express.com

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