(LiveMint)
India’s largest power producer is seeking bids to import coal after a gap of about four years, highlighting a supply crunch users of the fuel are facing as shipments in the country fall short of demand. State-run NTPC Ltd. is seeking a total of 2.5 million metric tons of imported coal, according to two separate tenders on its website. The company said in an email it last issued tenders for imported coal in 2014. It is looking to boost supplies as plants accounting for more than half its total capacity had less than seven days of coal stock as on 13 August, data from the Central Electricity Authority shows.
Production at Coal India Ltd., which produces more than 80% of the country’s coal, has failed to keep pace with rising demand, driven mainly by higher electricity generation. A congested railway network and a shortage of railway carriers to ship the coal add to the problem, forcing consumers from power plants to aluminum smelters to purchase the fuel from overseas or reduce plant utilisation.
