India Has 51 Days of Coal Stock, No Need to Worry: Coal Minister G Kishan Reddy

Reddy's comments indicate that the Centre does not currently see a systemic coal shortage threatening India's power sector

India currently has coal stocks equivalent to around 51 days of consumption, and there is no need for concern over the country’s coal availability, Union Minister for Coal and Mines G Kishan Reddy has said.

The minister said the country has around 123.7 million tonnes (MT) of coal available across the system, against daily consumption of approximately 2.4 MT. Of the total stock, around 100 MT is held by coal companies or is in transit, while thermal power plants have approximately 23.7 MT of coal stock.

According to Reddy, the stock available at power plants alone is sufficient for around 23 days, while the overall availability across the coal supply chain provides a much larger buffer.

Monsoon Disruptions Affected Coal Supplies

The minister acknowledged that heavy monsoon rainfall had affected coal production and transportation in several coal-producing regions. Production and movement were disrupted for roughly 10 days as persistent rains affected mining operations and logistics.

However, the situation has started improving as rainfall subsides, with coal production and dispatches expected to gain momentum.

Coal supplies to the power sector during April-August 2026 increased by around 4.5% year-on-year to 346.72 MT, according to the latest figures cited by the minister.

At the same time, coal-based electricity generation increased by around 9.1% to 535.8 billion units during the period, reflecting continued dependence on coal-fired power generation to meet India’s growing electricity demand.

Critical Coal Stocks at Some Power Plants Remain a Concern

While the Centre has emphasised the country’s overall coal availability, the situation at individual thermal power plants remains an important part of the picture.

Recent assessments have identified around 58–61 thermal power plants as having critical coal stocks, highlighting the difference between aggregate national coal availability and the quantity of coal physically available at individual generating stations.

A power plant can therefore face a supply constraint even when national coal inventories appear comfortable, particularly when transportation bottlenecks, mine-to-plant distances and sudden increases in electricity demand come into play.

The government, however, has maintained that the overall coal position remains comfortable and that supplies to the power sector are being monitored closely.

Power Demand Keeps Coal Demand Elevated

India’s rising electricity consumption has kept pressure on domestic coal supplies. Coal continues to account for a substantial share of India’s electricity generation, making uninterrupted production, transportation and delivery to thermal power stations critical for maintaining grid stability.

The increase in coal-based generation during the April-August period also means that power-sector coal consumption remains high.

The government is therefore relying on higher domestic production, improved logistics and better coordination between coal companies, the railways and power generators to maintain adequate stocks at thermal power plants.

Government Sees No Immediate Coal Shortage

Reddy’s comments indicate that the Centre does not currently see a systemic coal shortage threatening India’s power sector.

The 123.7 MT overall stock, equivalent to roughly 51 days of consumption, provides a substantial national-level buffer. The minister’s assessment also suggests that the temporary disruption caused by the monsoon is being treated primarily as a production and logistics issue rather than a fundamental shortage of domestic coal.

Nevertheless, plant-level inventories will remain a key indicator as the country moves through the post-monsoon period and into the high-demand months.

For the power sector, the critical question will not simply be how much coal India has in aggregate, but how quickly that coal can reach the thermal power plants that need it.

For now, the Centre’s message is clear: India has sufficient coal reserves and there is no immediate reason to worry about a nationwide coal shortage.

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