CHENNAI: In a bid to meet the summer demand, Tangedco is planning to import 6.5 lakh metric tonnes of coal from Malaysia in March and April. The power utility is likely to receive 1.40 lakh MT of coal in the first week of March.
A senior official told TNIE Tangedco, with its thermal stations having a collective capacity of 4,320 MW, needs approximately 72,000 MT coal per day to sustain operations, assuming a plant load factor of 100%. “Presently, the corporation is sourcing coal from the Mahanadi coal fields in Odisha and Singareni mines in Telangana,” he said.
In response to the escalating demand for coal, the Centre allowed a 6% coal import for all distribution companies. In the recent years, Tangedco has consistently been turning to Malaysia for its coal imports.
The tumultuous geopolitical landscape, with conflicts between Russia and Ukraine, had inflated coal prices from $135 to $140 per tonne over the past two years. However, the situation is stable now, with prices plummeting to $80 per tonne. It is worth noting imported coal incurs higher costs than its indigenous counterpart.
Highlighting the cost-effectiveness of indigenous coal, another official emphasised, “Indian coal is priced at Rs 1,750 per tonne. Therefore, sourcing coal from Odisha or Telangana would be more economical.”
Regarding Tangedco’s efforts to secure domestic coal, the official noted, “Tangedco has actively participated in coal mine auctions conducted by the Ministry of Coal to meet the requirements for upcoming thermal power projects and existing plants. With no interest shown by other bidders, Tangedco is set to secure the Sakhigopal coal mines in Angul, Odisha, which will be explored and mined in the coming years.”
