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Telangana Genco seeks 5 MT extra coal from CIL, MCL to bridge Singareni shortfall

TG-Genco has requested 5 MT additional coal from CIL and MCL to address quality and quantity shortfalls from SCCL, which is impacting thermal power generation.

The Telangana Power Generation Corporation Ltd (TG-Genco) has formally requested the Union Ministry of Power to facilitate the supply of an additional 5 million tonnes (MT) of coal to its thermal stations, with the approval of the Ministry of Coal.

In a recent communication to the Power Secretary, TG-Genco Chairman and Managing Director S. Harish highlighted that all its thermal units hold long-term coal linkages with Singareni Collieries Company Ltd (SCCL), amounting to 28.87 MT per annum. However, the company is facing a significant shortfall in both the quantity and quality of coal supplied.

Specific units, including the 500 MW and 800 MW blocks at Kothagudem Thermal Power Station (Stages VI and VII) and the 5x800 MW Yadadri Thermal Power Station, are designed to run on higher-grade (G9/G10) coal. Due to inadequate supply of this grade, these units are being forced to operate at partial loads, severely curtailing their output.

With peak power demand expected to surpass 260 GW in the coming months, TG-Genco states that its thermal fleet must run at full rated capacity. The fifth unit of the Yadadri plant is scheduled to begin commercial operation next month, which would push the daily coal requirement for all five units to roughly 50,000 tonnes.

Linkage materialisation from SCCL has been only 76%, and quality materialisation against the fuel supply agreement (FSA) grade is around 40% in 2025-26. SCCL has reportedly informed Genco that it cannot meet the demand for higher-grade coal and can only support three of the five Yadadri units in the long term. For the remaining two units, SCCL has suggested Genco secure linkages from alternative sources, such as Coal India Ltd (CIL).

Ground stocks at Genco's thermal stations currently stand at just four days, far below the Central Electricity Authority (CEA) norm of 26 days. The CEA has advised Genco to approach CIL and Mahanadi Coalfields Ltd (MCL) for the additional 5 MT supply to stabilise operations.