Coal supplies to power sector: A redesign of boilers on the cards?

That India has to import a significant chunk of its coal requirements is no news. However, at present, the amount of imported coal that can actually be put to use in power generation is limited.

The problem stems from the design of the boilers at Indian power plants, which can only accept imported coal as a blend with domestic, in no more than a 15:85 ratio. In the absence of adequate concomitant supplies of Indian coal, a common scenario, all the imports of the world are useless for power utilities, thus explaining their reluctance to meet import targets.

To do away with this constraint, a three pronged strategy is now being considered:

--NTPC is examining whether its old power plants can be retrofitted so as to enable them to use a blend containing higher amount of imported coal

--Some part of the Ministry of Power's ongoing capacity addition program is being designed to be run completely on imported coal

--The coal and power ministries would together come up with a new design for boilers to be used in upcoming power plants, so as to ensure fuel flexibility.

 The supply of domestic coal to power plants, is expected to trail demand by 46 million tonnes (MT) during 2010-11; the same gap is likely to widen to 98 MT in 2011-12. According to power ministry sources, over the next fiscal, demand for coal from the power sector will increase to 512 MT, against which a supply of only 414 MT is likely to be available.