GENCOs directed to Import Coal in Timely Manner


The Ministry of Power (MoP) has directed all GENCOs, including Independent Power Producers, to Import Coal in timely manner for blending purposes and maximizing production in captive coal mines. These directions were issued on 1st September, 2023.

The MoP has observed a robust growth in the demand for power in the country. However, there is a continuous high gap between receipt of domestic coal and total consumption at Domestic Coal Based plants as was evidenced by the realistic assessment of availability of coal at DCB plants from all sources.

Therefore, as a result of energy demand not being commensurate with coal requirements, the need has arisen to continue use of imported coal for blending purpose. Accordingly, it has been decided to modify mandatory blending to 4% for the remaining period of FY 2023-2024.

The Central, State GENCOs, and IPPs are directed to take necessary action to import coal for blending at the rate of 4% through competitive bidding process till 31st March, 2024. The shortfall in domestic supply of coal supply will be shared by all GENCOs on pro rata basis.

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