The leading Indonesian coal importer- China drawing up plans to restrict low grade (low calorific value (CV), high-ash and high- sulfur content) coal import to control air pollution in country and also to protect domestic miners.
On same issue, sources from Indian coal ministry have said there will be no immediate restrictions on import of low-grade coal in India, But also said later if there are constraints on port capacities, environment concerns, then it cannot be ruled out.
Currently on coal import there is no restriction in India. Being the main source for producing energy, India has imported 97.23 MnT in 2012-13, out of which around 80% was Indonesian coal.
Despite having a huge reserve of about 286 Billion tons, India’s coal production capacity is unable to match the current market demand. And due to the coal shortage, which led to chronic power shortages that have crimped economic growth.
India plans to add generation capacity of 88.54 Gigawatts in the five years to end-March 2017, compared with almost 55 Gigawatts in the previous five-year period.
Coal traders said they expect thermal coal shipments to the world's fourth-largest importer of the fuel to rise to 115 million-120 million tons in the year to March 2014.
Indonesia is exporting majorly low grade coal which ranges around 3,600-4,200 gross-as-received (GAR). And the for high grade coal (5,500 net-as-received (NAR) calorific value) are mainly imported from Australia or South Africa.
-Sourced
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