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Coal India raises shipments ahead of five-day strike

Coal India raises shipments ahead of five-day strike

The company accounts for about 80% of country's total output and worker strikes have previously crippled power plants. Coal fuels 60% of the country's power production.

Photo: Reuters Photo: Reuters

State-controlled coal mining company Coal India (CIL) is transporting extra volumes of coal to power plants ahead of a five-day worker union strike that threatens to cut much of its per-day output of 1.6 million tonnes, two company officials told Reuters on Monday.

The company accounts for about 80 per cent of country's total output and worker strikes have previously crippled power plants. Coal fuels 60 per cent of the country's power production.

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The five worker unions of Coal India will go on a strike from Tuesday against the government's plan to allow private companies mine and sell coal, said Jibon Roy, general secretary of the All India Coal Workers Federation.

The unions might again go on strike on January 13, Roy said.

"To cover for the loss from the strike, Coal India has been transporting coal in 225 trains over the past few days instead of 207 per day", said one of the officials, both of whom did not want to be named as they are not authorised to talk to media.

A train, called a rake by the commodities industry, can transport 4,000 tonnes of coal per day.

But with a fifth of country's 100 power plants monitored by the Central Electricity Authority running on coal stocks of less than 4 days, the strike could still aggravate the shortage and lead to power cuts in parts of the country.

This could also boost shipments into India, which is the world's third largest coal importer.

(Reuters)

Published on: Jan 05, 2015, 2:24 PM IST
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