Coal Secretary Anil Jain has said India will produce a record 700 million tonnes of coal in the current fiscal ending March 2021, helping cut down on imports. India produced 602.14 million tonnes of coal in 2019-20 fiscal, marginally lower than 606 million tonnes output in the previous year. He also said that this record output will help stop most of substitutable coal imports.
The country’s imports 235 million tonnes of coal annually. He further said about half of this is non-substitutable as they are tied to the power plant or user factories, but the rest can be cut down. Jain said FY20 coal production was lower than the target of 660 million tonnes because of flooding of a key coal mine.
He added that power plants, which are key coal users, have stocks as high as 30-days due to the coronavirus lockdown. The lockdown shut factories and offices, slashing electricity demand by about a quarter, thus affecting the use of coal and causing inventories to swell to record levels.
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