Companies

CIL sees 8% rise in coal offtake in Nov

Our Bureau Kolkata | Updated on December 02, 2020 Published on December 02, 2020

Non-power sector top consumer; production, too, up by 3%

Spurred by increased appetite for coal from non-power sector, Coal India Ltd (CIL) witnessed eight per cent rise in off-take at 51.3 million tonnes (mt) in November this year as compared to 47.5 mt same period last year.

Coal production was up by over three per cent at 51.7 mt during the month as against 50 mt same period last year.

With the non-power consumers showing a tendency to lift more coal, supply to the sector was up by around 46 per cent during the month at 12.3 mt (8.4 mt). Non-power sector’s lifting accounted for 24 per cent of the month’s total despatch, said a press statement issued by CIL.

The sector predominantly consists of cement, sponge iron, captive power plants and a host of other industries. Progressive up to November 20 the growth in supplies to non-power sector was 14 per cent at 80.6 mt.

Poor demand from power sector

“We are reorienting our marketing plans. With the demand from power sector yet to boom fully we are concentrating our efforts on non-power consumers to expand our sales volume. Till there is demand resurgence from power sector we shall follow this, which is helping us,” a senior company executive said in the release.

Close to 83 power plants have regulated lifting of coal in November, the company said. Of this, 26 have considerably reduced their programme placed for rakes against their entitlement. The remaining 57 have not filed their programme for rakes which led to demand stagnation during the month.

The country’s power sector is stocked with 37.4 mt of coal at their end sufficient for 22 days. With CIL riding high on 53.5 mt pithead stock a combined stock of 91 mt is available in the system sufficient to meet any demand surge. After a spurt of 14 per cent in October, supply to power sector has come down to a flat growth in November at 39.1 mt due to weak demand, the release said.

Average loading per day to non-power sector during the month increased by 59 per cent growth to 40 rakes a day against 25 rakes same month last year. Total rake loading went up by 20 per cent as CIL loaded 264 rakes a day in November this year as against 220 rakes last year.

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Published on December 02, 2020
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