© Reuters. FILE PHOTO: Workers drill in an open-pit coal field in Dhanbad district of eastern India’s Jharkhand state on September 18, 2012. REUTERS / Ahmad Masood
NEW DELHI (Reuters) – New Delhi’s prime minister warned on Saturday of an impending energy crisis in the Indian capital of 20 million people due to a coal shortage, which has already led to power outages in some eastern and northern states. .
Arvind Kejriwal said that he had urged Prime Minister Narendra Modi’s federal government to allocate more coal and gas to the power plants that supply the capital, as many of them had enough coal reserves for one day earlier in the week.
“Delhi could face an energy crisis,” Kejriwal said in a tweet. “Personally, I am closely monitoring the situation.”
Fuel prices for power generation are rising globally with industrial growth driving demand for electricity, leading to a reduction in the supply of coal and liquefied.
In India, more than half of the 135 coal-fired power plants, which supply about 70% of the country’s electricity, have fuel reserves for less than three days, Reuters reported on Friday.
In a letter to Modi shared on social media, Kejriwal said the coal shortage had continued for three consecutive months, putting pressure on gas-fired power plants that were also lacking adequate fuel.
However, the federal government has assured the public that there is an adequate amount of electricity available in the country.
Industrial energy demand has skyrocketed in India after the second wave of the coronavirus pandemic, with increased economic activity driving up coal consumption in the world’s second largest consumer of this product.
A widening price gap between lower domestic prices and record world prices has made coal imports unattractive, leaving Indian utilities struggling to secure supply as inventories they reached critically low levels.
Fusion Media or anyone involved with Fusion Media will not accept any responsibility for loss or damage as a result of reliance on information, including data, quotes, charts, and buy / sell signals contained on this website. Be fully informed about the risks and costs associated with trading the financial markets, it is one of the riskiest forms of investment possible.