The government has ordered captive coal plants (50 MW+) to maximise power generation from Oct 1 to Dec 31, 2026, to meet anticipated electricity demand. Surplus power must be sold on exchanges. The move targets 112 facilities across industries.
The government has directed captive coal-based generating stations with an installed capacity of 50 MW and above to operate at their maximum available capacity from October 1 to December 31, 2026, as it prepares for an expected rise in electricity demand in the coming months.
Directive to Ensure Power Supply
The Ministry of Power order carries an annexure listing 112 captive generating entities covered by the directions. The directions, issued under Section 11 of the Electricity Act, 2003, are aimed at ensuring adequate electricity supply and maximising generation availability amid the prevailing demand-supply situation.
“Considering the prevailing demand-supply scenario and the expected rise in electricity demand in the coming months, the Ministry of Power (MoP) is undertaking various measures to ensure adequate supply of electricity to consumers,” the Ministry said.
Under the order dated September 25, captive coal-based generating stations of 50 MW and above have been asked to generate power to the maximum extent of their available capacity. The generators will also have to offer surplus electricity remaining after meeting their own captive requirements through power exchanges, in accordance with applicable market regulations and procedures.
“To optimise availability of electricity generation, it is imperative that entire capacity of all the sources of generating electricity including the captive generating plants are utilised to the maximum possible,” the Ministry said.
Affected Industries and Compliance
The 112 facilities listed in the annexure include captive generating units associated with companies across sectors such as steel, aluminium, cement, petroleum, fertilisers, paper and chemicals. The list includes facilities of Tata Steel, Vedanta, Hindalco Industries, JSW Steel, UltraTech Cement, Indian Oil Corporation and NALCO, among others.
The generators have also been directed to maintain adequate coal stocks to ensure fuel availability and enable maximum generation during the three-month period. They will be required to submit weekly reports to the Central Electricity Authority (CEA) detailing generation, captive consumption, power sold through exchanges or other permitted avenues, available capacity and coal stocks.
The Ministry said the directions will remain applicable until December 31, 2026, taking into account the prevailing power demand-supply position and the need to ensure adequate availability of electricity in the grid. (ANI)
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