Indian state coal producer looks to sell surplus coal at discount
COAL & MINING

Indian state coal producer looks to sell surplus coal at discount

Odisha Coal and Power Ltd (OCPL), a state-run entity, is planning to sell surplus coal from its eastern Indian mine at a discounted rate, signalling reduced demand for the fuel. According to an auction document, OCPL will auction 3 million tons of surplus coal on October 4 for power plants, offering a 15% discount on the base price set by the national coal index. The auction was advertised in the *Times of India* newspaper.

Data from India’s coal ministry shows that between April 1 and August 25, the country’s total domestic coal production increased by 7.12% year-on-year, reaching 370 million metric tons. This move by OCPL suggests an oversupply of coal alongside decreased demand, according to Riya Vyas, a senior analyst at iEnergy Natural Resources Ltd. Vyas explained that coal-fired power plants are currently experiencing lower electricity demand, while domestic production has risen as monsoon rains subside.

India’s coal production reached a record high of 997.828 million tons in the fiscal year ending March 31, marking a 12% increase from the previous year. Despite 75% of India’s power generation being coal-based in 2023, the country imported 176 million tons of thermal coal, primarily for power plants. However, thermal coal imports are expected to decline this year for the first time since the COVID-19 pandemic, owing to increased domestic production and historically high inventories.

Odisha Coal and Power Ltd (OCPL), a state-run entity, is planning to sell surplus coal from its eastern Indian mine at a discounted rate, signalling reduced demand for the fuel. According to an auction document, OCPL will auction 3 million tons of surplus coal on October 4 for power plants, offering a 15% discount on the base price set by the national coal index. The auction was advertised in the *Times of India* newspaper. Data from India’s coal ministry shows that between April 1 and August 25, the country’s total domestic coal production increased by 7.12% year-on-year, reaching 370 million metric tons. This move by OCPL suggests an oversupply of coal alongside decreased demand, according to Riya Vyas, a senior analyst at iEnergy Natural Resources Ltd. Vyas explained that coal-fired power plants are currently experiencing lower electricity demand, while domestic production has risen as monsoon rains subside. India’s coal production reached a record high of 997.828 million tons in the fiscal year ending March 31, marking a 12% increase from the previous year. Despite 75% of India’s power generation being coal-based in 2023, the country imported 176 million tons of thermal coal, primarily for power plants. However, thermal coal imports are expected to decline this year for the first time since the COVID-19 pandemic, owing to increased domestic production and historically high inventories.

Next Story
Infrastructure Transport

Kolkata Conducts Successful Trial Run on Noapara-Airport Metro Route

Kolkata’s metro network is set for a major expansion as the first trial run on the Noapara-Airport Metro route was successfully conducted on January 25, 2025. Covering a 7.04 km stretch of the Yellow Line, this trial marks a significant step toward the route’s full operational launch, expected by mid-2025. The new metro extension will connect Noapara to Jai Hind Biman Bandar (Kolkata Airport), easing travel for thousands of daily commuters. The trial run, which began at Noapara at 12:09 PM, made stops at Dum Dum Cantonment and Jessore Road before reaching the airport station at 12:31 PM. T..

Next Story
Infrastructure Transport

BBMP Invites DPR Bids for KR Tunnel and 10 Elevated Corridors

The Bruhat Bengaluru Mahanagara Palike (BBMP) has invited bids for the preparation of a Detailed Project Report (DPR) for a second tunnel road between KR Puram and Nayandahalli, spanning 28 km. This move comes amid ongoing criticism from environmentalists, urban mobility experts, and civic groups against the proposed 18 km twin-tube tunnel road from Hebbal to Silk Board. The new tunnel road is proposed along a route already served by the Purple Line of Bengaluru Metro (Whitefield-Challaghatta via KR Puram and Nayandahalli). Additionally, BBMP has sought DPR bids for multiple elevated corr..

Next Story
Infrastructure Urban

Tyre Industry Seeks Ban on Scrap Tyre Imports Amid Surge

The Automotive Tyre Manufacturers Association (ATMA) has urged the government to impose an immediate ban on waste tyre imports, citing a more than fivefold increase since FY21 and growing environmental concerns. According to Ministry of Commerce data, imports of waste and scrap tyres have surged from 264,000 metric tonnes in FY21 to 1.398 million metric tonnes in FY24. In its pre-budget submission, ATMA Chairman Arnab Banerjee highlighted that the rising imports contradict India's Extended Producers Responsibility (EPR) Regulation on Waste Tyres, implemented in July 2022. The regulation i..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000