The Indian government has extended the mandate for power producers to import 6% of their coal requirements until June due to transport constraints and increased electricity demand, as reported by Reuters on March 5. Despite sufficient domestic availability and record coal production by Coal India, issues with the railway network have necessitated imports. The Ministry of Power anticipates peak power demand to reach up to 250 GW in summer 2024, a 3% increase from the previous year’s record. Coal remains the dominant source, constituting about 75% of India’s power generation, with coal-fired plants being the primary users.

Sources:

https://www.reuters.com/markets/commodities/india-extends-mandate-utilities-import-6-coal-needs-until-june-2024-03-05/