Centre Refutes Coal Shortage Claims in Punjab

Coal stocks at Punjab power plants exceed norms; Centre says supply remains uninterrupted

  • Centre says adequate coal has been supplied to Punjab’s thermal power plants.
  • Coal stock at PSPCL plants stands at 117% of normative requirements.
  • Punjab’s state-run thermal plants operated at only 42% PLF in August.
  • Coal India urges timely lifting of coal already offered to private power producers.

GG News Bureau
New Delhi, 6th Sept: The Ministry of Coal on Sunday clarified that adequate coal has been made available to Punjab’s thermal power plants, rejecting media reports that attributed lower power generation in the state to insufficient coal supply from the Centre.

The ministry said the Central Government has consistently supported Punjab’s coal supply chain and enabled the use of coal from Punjab State Power Corporation Limited’s (PSPCL) captive Pachhwara Central Coal Mine for independent power producers (IPPs), subject to statutory obligations.

According to the ministry, coal from the captive mine is already permitted for use by Punjab-based IPPs, including Nabha Power Limited and Talwandi Sabo Power Limited, up to 50 per cent of annual production after meeting the requirements of specified end-use plants.

Highlighting the coal stock position, the ministry said PSPCL’s three thermal power plants — Guru Hargobind Thermal Plant at Lehra Mohabbat, Goindwal Sahib Thermal Power Plant and Ropar Thermal Power Station — had coal stocks equivalent to around 117 per cent of the normative requirement as of September 4.

Despite the comfortable stock position, the average Plant Load Factor (PLF) of PSPCL’s thermal stations during August 2026 remained around 42 per cent. The ministry said this indicates that lower generation cannot be linked to coal shortages.

In contrast, Nabha Power Limited recorded a PLF of approximately 93 per cent during the same period, supported by adequate coal supplies from Coal India Limited (CIL), demonstrating that fuel availability was not a limiting factor for power generation in the state.

The ministry also pointed out that Punjab-based IPPs have not fully lifted coal already offered by Coal India subsidiaries. Central Coalfields Limited (CCL) had offered five lakh tonnes of coal to Nabha Power Limited and Talwandi Sabo Power Limited, of which only about 4.1 lakh tonnes had been booked and around 3.1 lakh tonnes lifted.

Similarly, Bharat Coking Coal Limited (BCCL) offered 3.5 lakh tonnes of coal to Nabha Power Limited, but only about 1.3 lakh tonnes were booked and 0.98 lakh tonnes lifted.

The Ministry of Coal said that timely lifting of allocated coal and improved utilisation of PSPCL’s own generating stations would help optimise power generation and meet Punjab’s electricity demand more effectively.

Reiterating its commitment to ensuring uninterrupted coal availability, the ministry said Coal India Limited continues to maintain adequate supplies for power generation across the country, including Punjab.