Decline in Coal Import Share

Summary and Important Points:

1. Import Share Reduction

• Period: April 2023 to January 2024.

• Change: Decline from 22.48% to 21% in total coal consumption.

2. Reduction in Blending Coal

• Reduction: 36.69% decrease in coal imported for blending by thermal power plants.

• Volume: Down to 19.36 million tons.

3. Increase in Imported Coal for Power Plants

• Increase: 94.21% rise in coal imports by imported coal-based power plants.

• Reason: Substantial decline in import prices due to lower global market prices.

4. Source Countries and Price Drop

• Primary Sources: South Africa and Indonesia.

• Price Decline: Average prices decreased by approximately 54% and 38% respectively.

5. Auction Premium Reduction

• Change: From 278% to 82% in auction premium over notified coal price.

• Indicator: Signifies ample coal availability, evidenced by current 96 MT coal stock.

Additional Information

• Thermal Power Plants: Primarily use blended coal for energy production.

• Imported Coal-Based Power Plants: Specifically designed to operate with imported coal.

Examination Perspective and Concise Points for Use

• Energy Policy and Economics: Understanding the dynamics between domestic and imported coal usage.

• Market Influences: The impact of global price changes on national import strategies.

• Sustainable Energy Practices: Shift towards utilizing domestic resources to reduce import dependency.

Key Words to Remember

• Coal Import Share

• Thermal Power Plants

• Import Prices

• Auction Premium

• Domestic Coal Utilization