Coal India's output surges 20% in first half of 2022-23

The output of Coal India Ltd., the country’s largest coal producer, surged 20% to 299 million tonnes in H1 of FY23, the company announced in a press release. The coal producer registered the highest incremental growth of 19.7% or 49 million tonnes during the period, compared to 250 MT of H1 last year. 

The company’s output for the month of September jumped 12.3% to 45.7 MTs, compared to 40.7 MTs in the same period last year. The supply to the power sector also witnessed a 7% growth at 42 MTs compared to 39.3 MTs in the same period last year. 

“Achieving nearly 43% of the fiscal’s 700 MT production target in six months, CIL is aiming to close on the rest in the second half. Customarily, CIL’s H2 production yield is much higher than the H1,” the company said.

“The company’s total coal off-take at 332 MTs in April-September’22 surpassed the target, achieving 101.7% satisfaction. CIL supplied 24 MT more coal compared to 308 MTs of the same period last year at a growth of 7.8%,” it added. 

Meanwhile, the company’s supplies to power plants surged sharply to 285.5 MTs, thus registering a year-on-year growth of 16.8% buoyed by increased production and higher loading. The company’s supplies to power plants stood at 244.5 MTs in H1 of FY22. The coal major’s total loading to thermal plants at 300 rakes per day surged 23.2% against 243.5 rakes of the same period last year. Of this, the loading from the CIL side was 85% or 254.3 rakes.

Moreover, dispelling the coal shortage during the festive season, the company said that there are sufficient stocks in the company’s pitheads and power plants. 

“As of September end, coal inventory at domestic coal-based plants stood at 24 MTs with the bulk of the stock boosted by CIL’s supplies. The stock is up by 2.4 fold compared to 10 MTs of September’21 when a sudden spike in generation pushed up the coal demand. Ending September CIL’s pitheads have a stockpile close to 28 MTs,” the company said. 

A senior official said, “Now adequate coal stocks are within reach. The production also increases from October onward. There is no cause for shortage apprehension.” Following the development, the shares of Coal India surged 2.83% to hit an intra-day high of ₹218.