Mahanadi Coalfields Limited (MCL), a unit of state-run Coal India Limited, mining operations and transportations has been aborted over the local violence because of job cuts.
A contractor has involved its own workers instead of engaging local workers. The local workers protest created disturbance in the area which converted in to mob violence.
The protesters forcibly shut mines. Transportation infrastructure also suffered a lot as railway track has been wrecked by protesters.
MCL supplies Coal to several power companies in South India and Odisha, including the state power utility NTPC, Talcher Thermal Power Station and aluminium maker NALCO (National Alluminium Company Limited).
The production and transportation activities were shut down leading to severe impact on the major power producer NTPC, as they have already closed the operations in two of its 5X600 MW power plant. If the Coal supply did not resume, NTPC need to shut down the remaining units too, NTPC official said.
Owing to continuous protest and operations shut down since 8 Oct, 2013 MCL is losing around 30,000 MT daily Coal productions. However the seven Coal mines in Talcher Coal Fields have the production of about 0.2 MnT Thermal Coal daily which closed from Thursday.
Inspite of closed operation, MCL managed to transport about 17-18 racks of Coal on Thursday, and it had to halt operations at seven Coal mines in the Talcher Coal fields Friday due to prevailing law and order situation.
In FY14, till October MCL has produced around 55.9MnT of Coal against target of 61.1 MnT. MCL accounted 65 MnT of Coal offtakes against 66.6 MnT target in FY14 till October.
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