Tata Power says “diversified sources” amidst coal crisis in India

NEW DELHI: Amidst India’s coal crisis, Tata Power tweeted on Thursday that it has sufficient supply to meet its customer needs in Mumbai. The reason behind the sustainability is that the power generation company has diversified its source of supply.

Tata power stated, “it supplies power to its customers in Mumbai by a combination of imported coal-based plants at Trombay, Hydro plants near Mumbai, and some renewable assets.”

On the contrary, Union Power Minister RK Singh on Wednesday said, “the coal shortage is beyond usual, and the situation is touch and go.” It has led to fear of power shortages all over the country.

The reason behind the deficit in coal supply is the sharp increase in demand from 106 billion units in August 2019 to 124 billion in August 2021. In addition, power plants failed to pile up the stock before monsoon as September rains hit the coal mining areas affecting its production and delivery. To boot, there is a decline in imports due to high prices.

The coal crisis could result in the delay of the economic recovery of the country if industries face power shortages. This can contribute to the downscale in production by some businesses dependent wholly on coal and by-products of coal.

To overcome the situation the State-run Coal India, which produces 80% of India’s coal and NTPC Ltd are working to increase the output from their mines. Besides, the government also needs to ramp up production by bringing in a greater number of domestic mines to the mainstream. This might help India from facing a long and hard power crisis.

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