Coal minister Pralhad Joshi Thursday said his ministry will request imported coal-based power plants to consider switching to domestic fuel-based design and technology as production in India is set to rise.
“Enough [domestic] coal will be available and will become competitive [for imported coal-based power plants],” Joshi said. The ministry is aiming for zero thermal coal import by FY26, he added.
The coal production target for 2026-27 is 1.4 billion tonnes and for 2029-30 it is 1.58 billion tonnes, the ministry had said in November. The target for FY24 is 1.01 billion tonnes. The production plan includes opening of new mines, expansion of mines capacity and production from captive and commercial mines. All these three operational components are contributing and have clear plans for further enhancement.
The railway ministry is making best efforts to supply sufficient rakes, Joshi said.
The government is trying to address the logistical challenges in transporting coal with dedicated corridors while Coal India is also investing in its infrastructure, he said. India has a proven reserve of 361 billion metric tonnes of thermal coal. About 80% of coal produced in the country is used in thermal power plants.
There are 15 imported coal-based power plants, which include Tata Power Co. Ltd’s Coastal Power Gujarat, Adani Power Mundra Ltd, Essar Power Ltd and JSW Ratnagiri, among others.
The imported coal-based plants have been directed to run at full capacity till June under Section 11 of the Electricity Act, amid rising power demand in the country.