CCAI Newsletter June-22

Page 6

CONSUMERS’ PAGE Present Coal Scenario: India’s overall coal production has dipped slightly in June to 67.59 MT from 71.30 MT in May. However, the overall coal production grew significantly by 32.5% compared to same month last year. CIL’s total production has grown by over 28% on an m-o-m basis. The growth has been helped by coal production in captive blocks which has more than doubled in last one year. Country’s overall coal despatch so far in the ongoing fiscal is 224.35 MT which is nearly 15% higher than the same period last FY. Coal despatch by CIL has grown by 10.70% so far in FY 22-23.85% of the coal has been despatched to Power Sector owing to high power demand. Despatch to power houses has grown by 22.3%. Coal despatch to Steel and CPP sub-sectors have grown in this fiscal so far by 35% and 6.6% respectively while rest of the sectors have dipped. Despatch to CPP sector has dipped by 36% in the ongoing fiscal.

Issues faced by both Power and Non-power Sector Consumers: 1. Submission for roll back of hiked price in different grades of coal by SCCL effected from 01.06.2022: The basic prices of different grades of Run Of Mine (ROM) coal for Power Sector has been hiked seven times and for Non-power Sector six times by SCCL since August ’21. The prices of washery grade coal

06 | CCAI Monthly Newsletter June 2022

have also been hiked four times by SCCL during the aforementioned period. Also, Additional Facility Charges of Rs.100/tonne for JVR CHP shipping point and Explosive Cost Adjustment Charges of Rs.135/ tonne on all grades of coal have been introduced since 13.05.2022 which have been revised on 01.06.2022. Additionally, the Fuel Surcharge levied on per tonne of coal has also been revised multiple times in the last one year. Request has been made to the Ministry of Coal and SCCL so that coal prices notified by SCCL on 01.06.2022 may be rolled back and levied additional charges on coal may also be reduced to the extent possible by the coal company.


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