India's Coal Reserves Reach Robust Levels, Ensuring Stable Power Supply
The Ministry of Coal announced on Monday that domestic thermal power plants across India currently possess ample coal stocks. These reserves can generate electricity for approximately 21 days. This marks a significant improvement in the country's energy security position.
Record Production and Stockpile Growth
India achieved its highest-ever coal production in the 2024–25 financial year. The output reached nearly 1,048 million tonnes. This figure represents an increase of about 5% compared to the previous fiscal year's production of 998 million tonnes.
As of December 31, total coal stocks at domestic coal-based thermal power plants were estimated at nearly 50.3 million tonnes. This stock level is over 17% higher than the nearly 43 million tonnes available on the last day of the previous year. The ministry highlighted that thermal power plant stocks crossed the 50 million tonne mark on November 22. This milestone was reached around 80 days earlier than in the previous financial year, when it occurred on February 9.
Historical Context and Current Stability
The current situation presents a stark contrast to the severe coal shortage faced in 2021–22. During that period, fuel stocks at several power stations dwindled to an average of just four days. The normative stock required for comfortable operation of power plants at an 85% load factor is typically estimated between 20 to 23 days. With 21 days of stock available now, India's power plants are operating within this comfortable range.
There are about 188 thermal power plants in the country. Their combined installed capacity stands at nearly 220 gigawatts. The robust coal supply directly supports this substantial infrastructure.
Reduced Dependence on Imported Coal
The abundant and uninterrupted domestic coal supply has led to a substantial reduction in imported coal blending. The ministry reported a 54.2% decrease in imported coal blending over the last year. Coal imported specifically for blending purposes up to December 25 stood at just 5.5 million tonnes. This is a sharp drop from the 12 million tonnes recorded in the previous calendar year.
With increased domestic production, overall coal imports during the first nine months of the 2024–25 fiscal year fell by 7.9%. Imports totaled 243.6 million tonnes, compared to 264.6 million tonnes in the same period of the previous fiscal year. This significant reduction in imports resulted in foreign exchange savings of approximately $7.9 billion for the nation.
Calendar Year Performance
The calendar year 2025 also saw impressive coal production. Total output reached about 1,043 million tonnes. This consistent high production underscores the sector's strengthened operational capacity and strategic focus on self-reliance.
The current stock levels and production records indicate a well-managed and growing domestic coal industry. This progress helps ensure a stable and reliable power supply for the country's homes and industries.
