Home India Ministry of Coal Parliament Question: Coal Allocation to Thermal Power Plants...
Date: 2025-08-20 Category: Not Applicable State: Union Government Country: India

Parliament Question: Coal Allocation to Thermal Power Plants in Tamil Nadu

Issued by Ministry of Coal · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This document addresses a parliamentary question regarding coal allocation, dispatch, and stock levels at thermal power plants in Tamil Nadu between April 2024 and July 2025. It details the Union Government's response to requests from Tamil Nadu regarding logistics support, coal allocation adjustments, and concerns about coal quality. The report includes data on coal dispatch and stock levels for specific power plants and outlines measures taken to improve coal quality. Key Points / Main Content: Coal Dispatch and Stock Levels: * Coal dispatch status against the Annual Contracted Quantity (ACQ) from Coal India Limited (CIL) to Tamil Nadu-based thermal power plants is provided for April 2024 to July 2025, along with coal stock levels. * Coal dispatch status from Singareni Collieries Company Limited (SCCL) to Tamil Nadu-based Central/State TPPs is provided for the same period, including stock levels. Logistics Support: * Coal supply to power plants, including Tamil Nadu Power Generation Corporation Limited (TNPGCL), is continuously monitored by coal companies, power companies, and an Inter-Ministerial Sub Group. * The Sub-Group, comprising representatives from various ministries and organizations, meets regularly to enhance coal supply to Thermal Power Plants and recommends rake allocation based on requirements and stock positions. * Logistical interventions ensure sufficient railway rakes and faster coal movement to TNPGCL's power plants, reducing transit delays. Coal Allocation Adjustments: * TNPGCL surrendered the coal linkage granted earlier for 50% of the installed capacity of Ennore TPS Expansion (1 x 660 MW). * Upon TNPGCL's request and the Ministry of Power's recommendation, coal linkage has now been earmarked to the State of Tamil Nadu for the entire capacity of 660 MW to develop Ennore TPS Expansion. Coal Quality: * TNPGCL raised concerns about the higher percentage of ash content in domestic coal; no quality issues were reported for imported coal. * Coal companies are placing special emphasis on quality management to enhance customer satisfaction. * Measures to improve coal quality include: * Third-Party Sampling Analysis (TPSA) of coal at the loading end. * First Mile Connectivity (FMC) Projects for improved coal blending and dispatch. * Consumer Grievance Redressal for quality-related complaints. Impact Analysis: TNPGCL: * Impact: Receives details on coal allocation, dispatch, and stock levels. Experiences adjustments to coal linkage for the Ennore TPS Expansion project. Benefits from logistical support for coal transport. Addressed on concerns regarding domestic coal quality. * Action Required: Continue to participate in the Inter-Ministerial Sub Group meetings. Utilize the Third-Party Sampling Analysis (TPSA) mechanism if desired. Ministry of Coal: * Impact: Responsible for overseeing coal production, allocation, and quality. Addresses concerns raised by Tamil Nadu regarding coal supply and quality. * Action Required: Continue to monitor coal supply and quality, ensuring adherence to established protocols. Coal India Limited (CIL) and Singareni Collieries Company Limited (SCCL): * Impact: Responsible for ensuring coal dispatch to Tamil Nadu-based thermal power plants. Required to address coal quality concerns. * Action Required: Maintain consistent coal supply. Implement measures to improve coal quality. Ministry of Power: * Impact: Involved in recommendations for coal allocation adjustments. * Action Required: Continue to assess and recommend appropriate coal allocations based on the needs of power plants. Ministry of Railways: * Impact: Responsible for providing railway rakes for coal transport. * Action Required: Collaborate to ensure the timely allocation of railway rakes for coal transport to Tamil Nadu.

Key Entities Referenced

Tamil Nadu: A state in southern India, the location of several thermal power plants mentioned in the context of coal allocation and supply. Tamil Nadu Power Generation Corporation Limited TNPGCL: A power generation company in Tamil Nadu, India, that requests additional logistics support and coal allocation adjustments. Coal India Limited CIL: A coal production company that supplies coal to Tamil Nadu-based thermal power plants. Singareni Collieries Company Limited SCCL: A coal mining company that supplies coal to Tamil Nadu based Central/State Thermal Power Plants (TPPs). Ministry of Coal: The government ministry responsible for coal allocation and quality management. Ministry of Power: A government ministry involved in recommendations regarding coal linkage to the State of Tamil Nadu. Ennore Thermal Power Station Expansion: A power plant expansion project of Tamil Nadu Power Generation Corporation Limited (TNPGCL). Central Electricity Authority CEA: An organization represented in the Inter-Ministerial Sub Group which monitors coal supply to Thermal Power Plants.
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GOVERNMENT OF INDIA MINISTRY OF COAL LOK SABHA UNSTARRED QUESTION NO. 4462 TO BE ANSWERED ON 20.08.2025 Coal Allocation to Thermal Power Plants in Tamil Nadu 4462. Dr. T Sumathy Alias Thamizhachi Thangapandian: Will the Minister of COAL be pleased to state: (a) the status of coal allocation, dispatch and stock levels at each thermal power plant in Tamil Nadu between April 2024 and July 2025; (b) the Union Government’s response to request made by Tamil Nadu Power Generation Corporation Limited (TNPGCL) for additional logistics support such as rail rakes to ensure uninterrupted coal transport to power plants; (c) the Union Government's response to request made by Tamil Nadu for coal allocation adjustments or improvements in coal quality; and (d) the details of issues faced by Tamil Nadu due to imported and domestic coal quality during the last year, plant-wise? ANSWER MINISTER OF COAL AND MINES (SHRI G. KISHAN REDDY) (a): The status of coal dispatch against the Annual Contracted Quantity (ACQ) under the Long/Medium Term Fuel Supply Agreement to Tamil Nadu-based thermal power plants from Coal India Limited (CIL) between April, 2024 and July, 2025, along with the coal stock at each of these power plants are as under: [Figures in Million Tonnes] 2024-25 2025-26 (till July, 2025) Name of the ACQ Dispatch Closing coal ACQ Dispatch Closing coal Power Plant stock as on (Pro-Rata stock as on 31.03.2024 basis) 31.07.2025 TANGEDCO/ Tamil Nadu Power Generation 18.600 18.960 0.932 6.010 4.970 1.021 Corporation Limited (TNPGCL) NTECL Vallur 6.870 6.400 0.595 2.220 2.020 0.783 The status of coal dispatch from Singareni Collieries Company Limited (SCCL) to Tamil Nadu- based Central/State TPPs between the period April, 2024 and July, 2025, along with the coal stock at each of these power plants is as under: [Figures in Million Tonnes] 2024-25 2025-26 (till July, 2025) Name of the ACQ Dispatch Closing coal ACQ Dispatch Closing coal Power Plant stock as on (Pro-Rata stock as on 31.03.2024 basis) 31.07.2024 North Chennai TPS 1.971 0.537 0.364 0.637 0.270 0.291 (NCTPS) Stage-III 1NTECL - 0.344* 0.595 - - 0.783 MTPS I & II - 1.828* 0.391 - - 0.347 *Coal supplied under Memorandum of Understanding (MoU) on best effort basis. Coal linkages have also been granted for 50% of the installed capacity of Uppur Super Critical TPP (2 x 800 MW); Udangudi Stage-I (2 x 660 MW); Ennore SEZ (2 x 660 MW) of TANGEDCO/ TNPGCL and to develop Ennore TPS Expansion (1 x 660 MW) of TNPGCL. (b): The supply of coal to the power plants including TNPGCL is a continuous process. Coal supply is continuously monitored by the coal companies, power companies and by an Inter-Ministerial Sub- Group comprising of representatives from Ministry of Power, Ministry of Coal, Ministry of Railways, Central Electricity Authority (CEA), CIL and SCCL which meets regularly to take various operational decisions to enhance supply of coal to Thermal Power Plants. The meetings of the Sub- Group Committee are attended by the representatives of the power plants including TNPGCL. Based on the requirement and the coal stock position, allocation of rakes is recommended by the Sub- Group. The Sub-Group closely monitors rake allocation and movement to maintain supply continuity. Logistical interventions by coal companies and the Sub-Group, undertaken in collaboration with Railways, ensure allocation of sufficient railway rakes to the power plants of TNPGCL as well as faster coal movement from coal mines to its power plants, thereby reducing transit delays & ensuring steady plant operations. (c) & (d): With regard to coal allocation adjustments, the coal linkage granted earlier for 50% of the installed capacity of TNPGCL Ennore TPS Expansion (1 x 660 MW) has been surrendered by TNPGCL. Further, on request of TNPGCL and recommendation of Ministry of Power, coal linkage has now been earmarked to the State of Tamil Nadu for the entire capacity of 660 MW to develop Ennore TPS Expansion (1 x 660 MW) of TNPGCL. As regards quality of domestic coal, TNPGCL raised the issue of higher percentage of ash content in domestic coal while for imported coal, TNPGCL has not faced any quality issue. To address quality issues in domestic coal, the coal companies place special emphasis on quality management to enhance customer satisfaction. Following measures have also been taken by coal companies under the guidance of Ministry of Coal to improve the quality of coal: - (i) To address the concerns of coal consumers regarding the quality of coal supplied by the coal companies, a Standard Operating Procedure for Third Party Sampling & Analysis of coal at the loading end was issued by Ministry of Coal on 26.11.2015. Sampling of coal at the loading end is conducted through Independent Third-Party Sampling Agencies (TPSAs). The consumers are free to engage any of the empaneled agencies. (ii) First Mile Connectivity (FMC) Projects, equipped with rapid loading systems for improved coal blending, dispatch of less than 100 mm coal and to maintain coal quality consistency have been undertaken by coal companies. (iii) Consumer Grievance Redressal - All quality related complaints received through consumer grievance portal are addressed promptly. Due to a continuous emphasis in ensuring supply of declared quality of coal, the overall final grade conformity (including referee results) of coal supplied by Coal India Limited has steadily improved from 62% in FY 2015-16 to 85% in FY 2025-26 (till 30.06.2025) ***** 2

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