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Policy▼ Bearish for Indian equities
Centre orders captive coal plants to maximise output from October 1 amid rising power demand
The brief
- The directive requires captive coal plants to run at full capacity from October 1
- The government invoked Section 11 of the Electricity Act as demand is expected to rise and coal stocks remain low
- Mandatory higher output may strain coal supplies and affect Indian power generators and coal producers
- Captive coal plants asked to maintain stocks from October 1: What it means for India's power supply
- Govt directs company-run power plants to supply surplus electricity in market
- High European gas prices push power producers back to coal
- Coal expected to provide half of India’s power through 2035-36
- Draft National Electricity Policy 2026 sent to Cabinet, proposes multiple power distributors
India's coal supply measures for power plants
India considered requiring thermal plants to blend up to 5% imported coal as stocks fell to 22.9 million tonnes, equal to seven days of cover, on September 19. It later directed 112 captive coal plants to run at full capacity from October 1 and sell surplus power through exchanges.
Sunday, 27 September
Saturday, 26 September
- Centre orders captive coal plants to maximise output from October 1 amid rising power demand