Coal India’s production has increased by 13.4% Y-o-Y. However, the state run coal miner has failed to achieve its production target by 6%.
India’s largest coal producer, CIL has produced 52.8 MnT of coal in the 1st month of 2016. The company’s coal production grew by about 1.5% in a month’s time. The production target set for CIL for Jan’16 was set at 56.18 MnT and the company produced 52.8 MnT for the month.
CIL has missed its production target by 6%, and missed its off-take target by 5%. It is to be noted the CIL had produced 46.6 MnT of coal in Jan ’15, which increased by 13.4% in Jan’16.
Source- CIL
Subsidiary-wise coal production
Three subsidiaries among eight have exceeded their production target for the month. BCCL was the star performer for the month and achieved its production target by 109%. The company produced 3.2 MnT of coal against targeted 2.9MnT.
NNCL and ECL are the two other subsidiaries, which exceeded their production target by 107% and 104% respectively. However, WCL produced 4.4 MnT of coal against targeted 4.4 MnT; achieving its production by 100%.
Source- CIL
According to a release by Indian Coal Ministry, earlier in the financial year annual coal demand for FY16 has grown up to 910 MnT. Centre has planned about 550 MnT of coal production from CIL and about 150 MnT from SCCL including other captive blocks.
On the flip side, Centre has also planned about 210 MnT coal from import by fuel starved sectors including both regulated and non-regulated sectors.
Coal India had already produced 426.31 MnT of coal in the 1st eleven month of the fiscal against targeted 550 MnT for FY16.The cut in production target may be a move to overcome the dilemma to manage the unsold stockpiles at stockyards of Coal India.
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