Lok Sabha Question No. 816 (UNSTARRED), answered on 2022-07-21
Subject: Stressed Power Plants
Ministry: POWER
Asked by: Andimuthu Raja

## GOVERNMENT OF INDIA MINISTRY OF POWER LOK SABHA UNSTARRED QUESTION NO.816

## ANSWERED ON 21.07.2022

## STRESSED POWER PLANTS

816. SHRI A. RAJA:

Will the Minister of POWER be pleased to state:

- (a) whether  many  State  power  plants  are  stressed  power  plants  requiring  working capital to buy coal and start generating power in the country;
- (b) if so, the details thereof;
- (c) whether such power plants would be offered short-term loans from Power Finance Corporation and REC Ltd.;
- (d) if so, the details thereof;
- (e) the number of State power plants whose generating capacity has reduced due to shortage of supply of coal along with the steps taken by the Government to provide fuel; and
- (f) whether  the  power  plants  are  generating  power  at  their  full  capacity  to  meet energy demand and if so, the details thereof?

## A N S W E R

THE MINISTER OF POWER AND NEW & RENEWABLE ENERGY

(SHRI R.K. SINGH)

- (a) & (b) : State Power Generating Companies (GENCOs) are generally facing delays in realization  of  receivables  from  Distribution  Companies  (DISCOMs)  which  impair  their ability  to  service  debt  in  a  timely  manner  that  leads  to  exhaustion  of  working  capital. Depletion of working capital in turn affects Gencos ability to purchase coal.
- (c) & (d) : The details of State sector generation companies which approached Rural Electrification Corporation Limited (REC) for working capital loan for purchase of coal is given below:

|   Sl. No. | State       | Utility                                                     |   Loan Amount sanctioned by REC (Rs. Cr.) |
|-----------|-------------|-------------------------------------------------------------|-------------------------------------------|
|         1 | Maharashtra | Maharashtra State Power Generation Company Limited (MSPGCL) |                                      1800 |

..........2.

| 2.   | Rajasthan   | Rajasthan RajyaVidyutUtpadan Nigam Limited (RRVUNL)   |   500 |
|------|-------------|-------------------------------------------------------|-------|
| 3.   | Punjab      | Punjab State Power Corporation Limited (PSPCL)        |   400 |
| 4.   | Haryana     | Haryana Power Generation Corporation Limited (HPGCL)  |   500 |
| 5.   | Karnataka   | Karnataka Power Corporation Limited (KPCL)            |   500 |
|      | TOTAL       | TOTAL                                                 |  3700 |

Decision  to extend  any  loans  is taken  by  the lenders as per their commercial wisdom through appropriate due diligence on case to case basis.

(e) : The  coal  stock  available  with  the  Thermal  Power  Plants  (TPPs)  is monitored  on  daily  basis  by  CEA.  As  on  31.03.2022,  the  coal  stock  was  25.6  Million Tonnes (MT) and has increased to 28.4 MT as on 17.07.2022, which is about 50% of the normative coal stock required to be maintained by the TPPs. The coal stock available as on 17.07.2022 is sufficient to run these power plants for an average of 10 days at 85% PLF.

Government  has  taken  following  steps  to  ensure  smooth  coal  supply  to power plants for unhindered power generation:-

- (i) An Inter-Ministerial Sub-Group comprising of representatives from Ministry of Power, Ministry of Coal, Ministry of Railways, Central Electricity Authority (CEA), Coal India Limited (CIL) and Singareni Collieries Company Limited (SCCL) meet regularly to take various operational decisions to enhance supply of coal to thermal power plants as well as for meeting any contingent situations relating to Power Sector including to alleviate critical coal stock position in power plants.
- (ii) As  per  the  decision  taken  in  the  meeting  held  under  the  Chairmanship  of  Cabinet Secretary  on  Augmentation  of  coal  supply  and  power  generation  capacity,  a Secretary  level  Inter  Ministerial  committee  has  been  set  up  to  ensure  that  the medium and long term requirements of coal are met. The IMC comprises of Chairman Railway  Board,  Secretary,  Ministry  of  Coal,  Secretary,  Ministry  of  Environment, Forests  and  Climate  Change  as  members  and  Secretary,  Ministry  of  Power  as convenor. Further, CEA provides technical support to the IMC.
- (iii) Ministry of Power vide OM dated 28.04.2022 has advised power plants to import coal for blending purposes during 2022-23.
- (iv) CIL has allocated about 16 MT coal on Road cum Rail (RCR) mode to TPPs.
- (v) Ministry of Railways has issued order to give preference to Power Sector for loading of coal from Good Shed Siding (GSS) and Private Washery.
- (f) : The  Plant  Load  Factor  (PLF)  of  Coal/lignite  based  power  plants  of capacity 25 MW and above during the year 2021-22 was 58.87%. In 2022-23, the demand for electricity has been increased and power plants are generating the electricity as per schedule given to them. The PLF for Coal/lignite based power plants in FY 2022-23 upto June- 2022 is around 69.5 %.

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