NEW DELHI, October 22: India is facing a troubling contradiction in its energy sector. The government says a record 2.6 million tonnes of coal is being dispatched to power plants every day. Yet nearly half the country’s monitored coal-fired power stations are struggling with critically low fuel inventories.
According to Central Electricity Authority (CEA) data reported by Reuters, 96 of India’s 191 coal-fired power stations had critically low coal stocks on October 19, compared with 60 in mid-September.
The question is unavoidable: If coal supplies are reaching record levels, why are so many power plants running dangerously low? Where is all that coal going?
The Numbers Don’t Tell the Same Story
On October 12, the Coal Ministry claimed that supplies were improving, railway loading had increased, and depletion of coal stocks had slowed.
Its own figures showed average daily deliveries rising from 2.21 million tonnes in September to 2.49 million tonnes during the first ten days of October.
But higher dispatches have not translated into a convincing recovery in inventories. Coal stocks at power stations have continued to decline, while the number of critically stocked plants has increased.
The government must explain the gap between coal dispatched, coal actually received, coal consumed and coal remaining in power-station stockyards.
Where Is the Coal Going?
There are legitimate explanations for the pressure. Electricity demand has surged, hydropower generation has declined, and unusually hot weather has increased dependence on thermal power.
In September, coal-fired electricity generation increased 13.3% year-on-year, while hydropower output declined 20%.
But higher consumption alone cannot explain away questions about supply-chain management.
Are coal-producing companies dispatching sufficient quantities to the plants that need them most? Are railway bottlenecks delaying deliveries? Are some power stations receiving preferential allocations while others struggle?
And crucially, how much coal is being consumed immediately upon arrival, leaving little opportunity to rebuild depleted reserves?
These questions require plant-wise data, not another national dispatch headline.
Coal-Rich India, Fuel-Starved Power Plants
India possesses enormous coal resources and operates one of the world’s largest coal-mining industries.
Yet its electricity system remains vulnerable to shortages at individual generating stations.
The contradiction raises serious questions about coordination between Coal India, the Railways, electricity generators and the ministries responsible for coal and power.
The situation also exposes weaknesses in demand forecasting and contingency planning. If higher electricity consumption and reduced hydropower were foreseeable risks, why were adequate reserves not maintained before the crisis deepened?
Gujarat Adds Another Contradiction
The crisis has acquired a politically sensitive dimension.
Reuters reported that Gujarat, one of India’s most industrialised states, asked factories to reduce electricity consumption during evening peak hours to prevent shortages.
Meanwhile, a senior Power Ministry official maintained that Gujarat faced no shortage of coal or electricity.
If there is no shortage, why are industries being asked to curb consumption?
The government owes businesses and consumers a clearer explanation of whether the problem is insufficient generation, fuel availability, peak-hour demand or grid management.
The Accountability Question
Critically low coal stocks do not automatically mean power stations are shutting down. But they significantly reduce the system’s ability to withstand further supply disruptions.
The Centre should publish a transparent, plant-wise account of coal allocation, dispatch, actual receipts, consumption, stock levels and railway delivery delays.
It must also explain why stock levels continued to deteriorate despite repeated assurances that supplies were improving.
India’s coal crisis may not simply be about how much coal the country produces. It may be about where that coal reaches, how efficiently it is distributed, and who is accountable when the system fails.
Until those questions are answered, record dispatch figures will remain an inadequate response to emptying power-station stockyards.
