Forty-five coal-fired power plants across India are operating with critically low coal inventories, according to government data, as monsoon rains disrupt fuel supplies while electricity demand remains elevated amid hotter-than-usual weather. The number of plants facing critical stock levels has increased significantly from 31 at the end of July, highlighting growing pressure on the country’s power generation system. Data available on the website of the Central Electricity Authority (CEA) showed that the affected plants had coal stocks below 25% of their required inventory or enough fuel to generate electricity for fewer than three days. The figures, based on data available as of August 25, indicate that the number of power stations facing acute fuel shortages has risen sharply within less than a month.

Of the 45 plants classified as critically stocked, 40 are domestic coal-fired power stations, according to the CEA data. The remaining plants are understood to have other sources of coal supply. Domestic coal-fired stations rely heavily on supplies from Indian mines, making them particularly vulnerable to disruptions caused by heavy rainfall, mining constraints and transportation bottlenecks during the monsoon season. Heavy rainfall in major coal-producing states, including Odisha, Jharkhand and Chhattisgarh, has disrupted mining operations and slowed the movement of coal to power plants, industry sources said. Monsoon conditions can affect both open-cast mining and railway transportation, potentially creating delays between coal production and deliveries to thermal power stations.

The decline in inventories comes at a time when electricity demand has remained strong. Hotter-than-usual weather has increased the use of cooling systems and contributed to higher power consumption. The combination of elevated demand and disruptions in coal movement has increased pressure on thermal power plants to maintain adequate fuel stocks. Commodities consultancy BigMint said there had been a significant drawdown in coal inventories during August. According to the consultancy, coal stocks at power plants had fallen 19% from end-July levels. The decline underscores the speed at which inventories have been depleted as plants continue to consume coal while replenishment is affected by weather-related supply constraints.

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The rise in critically stocked plants from 31 at the end of July to 45 as of August 25 represents an increase of 14 plants in less than a month. For power producers, maintaining adequate coal inventories is important because thermal power remains a major component of India’s electricity generation mix and shortages can place additional pressure on other sources of power. The situation is being closely watched because prolonged disruption to coal supplies could affect the ability of some thermal power plants to operate at full capacity. However, the classification of a plant as having critical stocks does not by itself mean that electricity generation has stopped. It indicates that available inventory has fallen below specified thresholds or is insufficient to support generation for an extended period.

Authorities and power sector stakeholders will need to monitor coal production, transportation and consumption closely as the monsoon season continues. Restoring inventories at affected plants will depend on the pace of mining activity, weather conditions and the movement of coal from producing states to generating stations. The latest CEA figures therefore point to increased pressure on India’s thermal power sector, with 45 plants now reporting critically low coal stocks. With electricity demand remaining firm and monsoon disruptions affecting supplies, sustained replenishment of coal inventories will be important to ensure reliable power generation in the coming weeks.

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