Prices of steel in the country are expected to remain strong amid hike in power charges in states like, Punjab (Mandi Gobindgarh) and Andhra Pradesh (Hyderabad).
Power charges in Hyderabad (Andhra Pradesh) have increased by 20% per unit (approx). Similarly at Mandi Gobindgarh (Punjab), power tariff raised by 9-12% (approx).
On the other hand largest state run electricity company NTPC is facing quality issues from Coal India Limited (CIL), which led to shortfall of fuel (Coal) in some of the power plants of company (NTPC) based in Eastern and Northern Grids. Availability of coal with the company is lower than expected. This may put some pressure on supply, leading to cut in steel production.
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