Now Reading: Coal India says coal to stay at centre of energy mix till 2047
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Coal India says coal to stay at centre of energy mix till 2047
Coal India Ltd (CIL) chairman B. Sairam has said coal will remain at the centre of India's energy mix until 2047, driven by rising industrialisation, urbanisation and power demand. Speaking to Mint,…
Coal India Ltd (CIL) chairman B. Sairam has said coal will remain at the centre of India's energy mix until 2047, driven by rising industrialisation, urbanisation and power demand. Speaking to Mint, Sairam noted that supplies to the power sector rose nearly a fifth to 49.77 million tonnes (mt) in July FY27 from 42.35 mt a year earlier.
The company's production target for FY27 has been set at 815 mt, down from 875 mt last year, because of high opening coal stocks despite strong demand. Sairam said the West Asia war has pushed up diesel costs, keeping profitability broadly flat at around Rs 35,000 crore. CIL also plans to list its subsidiaries Mahanadi Coalfields Ltd and South Eastern Coalfields Ltd this fiscal.
Indian Opinion Analysis
Coal India's 2047 timeline aligns with the government's Viksit Bharat vision, but it also raises a question: if thermal capacity is to peak only then, how fast must renewable capacity scale to meet the Paris commitments? Under the National Electricity Plan, coal capacity is expected to rise to about 260 GW by 2032 from roughly 220 GW now, before declining. The real tension is between the coal ministry's production targets and the power ministry's renewable purchase obligations. The next test will come when CIL reports its Q2 earnings, which will show whether diesel costs and flat profitability persist as the monsoon ends.
Source: livemint.com
This story was synthesised by AI from the source linked above.
