We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Friday, 03 August 12
INDIA - LIGHTS OUT! - SALVA
 The Indian power sector hit global headlines this week for all the wrong reasons. Firstly, on Monday, over 350 million people lost power across northern India, including Delhi. The following day, the lights went out again, but this time over 600 million people in 20 of India’s 28 states were affected, with the outages covering range of 3000 kilometers in the northern and eastern regions. The authorities’ response has ranged from blaming states for overdrawing from the grid, to appointing a committee to inquire into the causes of the blackout. However, these latest outages are merely symptomatic of much larger problems in India’s power sector, which has been short of power for years.
In Salva’s view, the problem does not lie within the generation sector – but with its upstream (coal supply and transportation) and downstream (transmission and distribution) counterparts. Since the generation sector was deregulated in FY03-04 to enable private participation, installed generation capacity has almost doubled, growing by 92GW or 85%, at a CAGR of 10.8%. The vast majority of this new capacity is coal-fired, which added another 18GW of new capacity in FY11-12 and a further 4.2GW in Q1’12.
However, this new power generation capacity is not being fully utilised, with plant load factors for coal declining from 79.2% in H1’11 to 75.8% in H1’12 and 72% most recently in June. Over 4.3TWh of coal-fired generation was lost in June alone due to low coal supply with a further 1.4TWh lost because of transmission constraints and unplanned outages. Given these figures, clearly thermal coal supply remains a problem. While domestic coal production has increased in 2012, it has languished in recent years, growing at around 1% (5Mt) between 2008-11, which pales in comparison against annual coal-fired power capacity growth of over 10%. Even when production is strong, which it has been in early 2012 (by Indian standards), transportation of coal remains highly problematic. Indian Railways has not been able to procure wagons in time to boost availability sufficiently. This has resulted in coal shortages at power plants and growth in coal mine stockpiles. Transport capacity remains severely constrained as capacity addition has languished at the altar of populism. Passenger traffic shares the same infrastructure as freight, causing freight such as coal to be given a lower priority.
The Electricity Act of 2003 freed up the generation sector, but the same reforms haven’t yet percolated to the transmission and distribution sectors, which are suffering from the same bottlenecks that existed prior to 2003. Transmission capacity is not being developed at the same pace as generation capacity, while distribution reforms remain a pipe dream. As domestic coal production has not kept pace with demand, power producers have used much costlier imported coal to generate electricity. However, India’s tariff framework is still lagging behind, so the State Electricity Boards require ever increasing financial support from state owned banks and financial institutions. Tariff reform is an immediate requirement. Only that will facilitate the sector’s much needed investment.
What are the implications if this is not done now?
Indian cities are accustomed to power cuts. However, increasing prosperity has increased electricity demand and, coupled with the weak monsoon this year, has caused power demand to spike. Agricultural states like Uttar Pradesh, Haryana and Punjab have increasingly overdrawn power from the grids to feed the agricultural sector (which ironically is not metered as power is free for farmers) and to meet residential demand. The agricultural sector is still dependent upon the monsoon as the irrigation network is not widespread, and the weak monsoon has resulted in farmers pumping groundwater onto their fields. Generally electricity demand is low during the monsoon months (June-September) as the rains reduce temperatures. However, the rains have been weak and hence residential power demand has remained strong. This has been further exacerbated with the additional demand from the agricultural sector. State power distribution companies have not planned in advance to buy additional electricity and have overdrawn power from the grid without additional generation being supplied. This has destabilised the grid and caused it to fail.
The impact of the electricity shortages have been felt by the public at large, with a few incidents of people protesting on the road. However, it hasn’t erupted into widespread unrest - thankfully.
The implications of not carrying out reforms in the transmission and distribution sector are now apparent. Lack of adequate investment in the transmission sector will hobble the impressive generation capacity that has been developed. Lack of commercial reforms in the power distribution sector will not provide the returns or even cover the basic cost of generation. The power sector is already sick and if reforms are not carried out with the seriousness required, India will suffer further setbacks.
Source: Salva
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Sunday, 19 February 12
THE SPOT FIXTURE RATES WERE REPORTED AT HIGH LEVELS - VISTAAR
COALspot.com - "The markets seems to holding back this week appears the momentum which picked up last week may slow down" - Capt. Reddy of ...
Sunday, 19 February 12
INDIKA ACQUIRES MULTI TAMBANGJAYA - INSIDER STORIES
Insider Stories reported that, PT Indika Energy Tbk (INDY) announced that wholly-owned subsidiaries have signed a conditional sale and purchase agre ...
Friday, 17 February 12
COLOMBIA COAL PRODUCTION, EXPORTS JUMP IN 2011: GOVT - COLOMBIA REPORTS
Colombia Reports reported that, colombia's coal production jumped 15.4% in 2011 to 85.8 million tonnes versus the previous year while exports rose ...
Thursday, 16 February 12
GEARING UP FOR THE EMERGING OIL & GAS OPPORTUNITIES IN MYANMAR
Press Release - Myanmar Ministry of Energy and Centre for Management Technology (CMT) to Co-host MOGP (Myanmar Oil, Gas & Power) Summit on 28 - ...
Wednesday, 15 February 12
HBA FOR FEB 2012, CLIMBS 2.09 PERCENT AND REACHED US$ 111.58 PER TON
COALspot.com - The Indonesian coal reference price for February climbs 2.09 percent to US$111.58 per ton after losing past three months. ...
|
|
|
Showing 4846 to 4850 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Siam City Cement - Thailand
- European Bulk Services B.V. - Netherlands
- Madhucon Powers Ltd - India
- Gujarat Mineral Development Corp Ltd - India
- Kapuas Tunggal Persada - Indonesia
- Timah Investasi Mineral - Indoneisa
- Vijayanagar Sugar Pvt Ltd - India
- Anglo American - United Kingdom
- Pipit Mutiara Jaya. PT, Indonesia
- Port Waratah Coal Services - Australia
- AsiaOL BioFuels Corp., Philippines
- ICICI Bank Limited - India
- Electricity Generating Authority of Thailand
- Riau Bara Harum - Indonesia
- Edison Trading Spa - Italy
- Metalloyd Limited - United Kingdom
- Economic Council, Georgia
- Energy Link Ltd, New Zealand
- Global Green Power PLC Corporation, Philippines
- Petron Corporation, Philippines
- Xindia Steels Limited - India
- PTC India Limited - India
- Trasteel International SA, Italy
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Minerals Council of Australia
- Kartika Selabumi Mining - Indonesia
- Grasim Industreis Ltd - India
- Mintek Dendrill Indonesia
- Mercator Lines Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Directorate General of MIneral and Coal - Indonesia
- Barasentosa Lestari - Indonesia
- Holcim Trading Pte Ltd - Singapore
- Kideco Jaya Agung - Indonesia
- Latin American Coal - Colombia
- Iligan Light & Power Inc, Philippines
- Power Finance Corporation Ltd., India
- Star Paper Mills Limited - India
- SMG Consultants - Indonesia
- Attock Cement Pakistan Limited
- IEA Clean Coal Centre - UK
- GVK Power & Infra Limited - India
- Indogreen Group - Indonesia
- PNOC Exploration Corporation - Philippines
- Mercuria Energy - Indonesia
- ASAPP Information Group - India
- Sical Logistics Limited - India
- Independent Power Producers Association of India
- Georgia Ports Authority, United States
- Globalindo Alam Lestari - Indonesia
- Sakthi Sugars Limited - India
- Uttam Galva Steels Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Makarim & Taira - Indonesia
- Bayan Resources Tbk. - Indonesia
- Bukit Baiduri Energy - Indonesia
- SMC Global Power, Philippines
- OPG Power Generation Pvt Ltd - India
- Aditya Birla Group - India
- San Jose City I Power Corp, Philippines
- Malabar Cements Ltd - India
- Billiton Holdings Pty Ltd - Australia
- Bulk Trading Sa - Switzerland
- PowerSource Philippines DevCo
- Indo Tambangraya Megah - Indonesia
- Planning Commission, India
- London Commodity Brokers - England
- Petrochimia International Co. Ltd.- Taiwan
- Bangladesh Power Developement Board
- GN Power Mariveles Coal Plant, Philippines
- Wood Mackenzie - Singapore
- Maheswari Brothers Coal Limited - India
- Miang Besar Coal Terminal - Indonesia
- Thai Mozambique Logistica
- Semirara Mining and Power Corporation, Philippines
- Kalimantan Lumbung Energi - Indonesia
- Indian Oil Corporation Limited
- LBH Netherlands Bv - Netherlands
- Ambuja Cements Ltd - India
- Antam Resourcindo - Indonesia
- International Coal Ventures Pvt Ltd - India
- Krishnapatnam Port Company Ltd. - India
- CNBM International Corporation - China
- Interocean Group of Companies - India
- Ministry of Finance - Indonesia
- Coastal Gujarat Power Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Orica Australia Pty. Ltd.
- Videocon Industries ltd - India
- South Luzon Thermal Energy Corporation
- Energy Development Corp, Philippines
- Standard Chartered Bank - UAE
- CIMB Investment Bank - Malaysia
- Tamil Nadu electricity Board
- Pendopo Energi Batubara - Indonesia
- Global Coal Blending Company Limited - Australia
- Bahari Cakrawala Sebuku - Indonesia
- Bhushan Steel Limited - India
- Africa Commodities Group - South Africa
- Cigading International Bulk Terminal - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Indonesian Coal Mining Association
- Singapore Mercantile Exchange
- Manunggal Multi Energi - Indonesia
- White Energy Company Limited
- Medco Energi Mining Internasional
- The Treasury - Australian Government
- Banpu Public Company Limited - Thailand
- Bhoruka Overseas - Indonesia
- Ind-Barath Power Infra Limited - India
- Wilmar Investment Holdings
- Intertek Mineral Services - Indonesia
- MS Steel International - UAE
- Gujarat Electricity Regulatory Commission - India
- Siam City Cement PLC, Thailand
- Goldman Sachs - Singapore
- Sinarmas Energy and Mining - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Parry Sugars Refinery, India
- Agrawal Coal Company - India
- Meenaskhi Energy Private Limited - India
- Kepco SPC Power Corporation, Philippines
- Tata Chemicals Ltd - India
- Renaissance Capital - South Africa
- VISA Power Limited - India
- Electricity Authority, New Zealand
- Jaiprakash Power Ventures ltd
- Straits Asia Resources Limited - Singapore
- Binh Thuan Hamico - Vietnam
- Merrill Lynch Commodities Europe
- Baramulti Group, Indonesia
- Vizag Seaport Private Limited - India
- Deloitte Consulting - India
- Central Electricity Authority - India
- Borneo Indobara - Indonesia
- IHS Mccloskey Coal Group - USA
- Australian Commodity Traders Exchange
- Sarangani Energy Corporation, Philippines
- GAC Shipping (India) Pvt Ltd
- Orica Mining Services - Indonesia
- Coalindo Energy - Indonesia
- Indian Energy Exchange, India
- Formosa Plastics Group - Taiwan
- Salva Resources Pvt Ltd - India
- Mjunction Services Limited - India
- Central Java Power - Indonesia
- TeaM Sual Corporation - Philippines
- Semirara Mining Corp, Philippines
- Chettinad Cement Corporation Ltd - India
- Rio Tinto Coal - Australia
- Price Waterhouse Coopers - Russia
- SN Aboitiz Power Inc, Philippines
- Sindya Power Generating Company Private Ltd
- Leighton Contractors Pty Ltd - Australia
- Carbofer General Trading SA - India
- Therma Luzon, Inc, Philippines
- Bukit Makmur.PT - Indonesia
- Larsen & Toubro Limited - India
- Lanco Infratech Ltd - India
- Heidelberg Cement - Germany
- McConnell Dowell - Australia
- Bhatia International Limited - India
- Samtan Co., Ltd - South Korea
- Coal and Oil Company - UAE
- New Zealand Coal & Carbon
- Marubeni Corporation - India
- Aboitiz Power Corporation - Philippines
- Global Business Power Corporation, Philippines
- Asmin Koalindo Tuhup - Indonesia
- India Bulls Power Limited - India
- Kaltim Prima Coal - Indonesia
- Eastern Coal Council - USA
- Dalmia Cement Bharat India
- Karaikal Port Pvt Ltd - India
- Gujarat Sidhee Cement - India
- Romanian Commodities Exchange
- Vedanta Resources Plc - India
- Sree Jayajothi Cements Limited - India
- Posco Energy - South Korea
- The University of Queensland
- Kobexindo Tractors - Indoneisa
- Ceylon Electricity Board - Sri Lanka
- Indika Energy - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- Ministry of Transport, Egypt
- Commonwealth Bank - Australia
- Parliament of New Zealand
- Directorate Of Revenue Intelligence - India
- GMR Energy Limited - India
- Eastern Energy - Thailand
- Altura Mining Limited, Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Savvy Resources Ltd - HongKong
- Alfred C Toepfer International GmbH - Germany
- Chamber of Mines of South Africa
- Kumho Petrochemical, South Korea
- Jorong Barutama Greston.PT - Indonesia
- Jindal Steel & Power Ltd - India
- Maharashtra Electricity Regulatory Commission - India
- Cement Manufacturers Association - India
- Meralco Power Generation, Philippines
- Simpson Spence & Young - Indonesia
- Oldendorff Carriers - Singapore
- Rashtriya Ispat Nigam Limited - India
- Bukit Asam (Persero) Tbk - Indonesia
- The State Trading Corporation of India Ltd
- Offshore Bulk Terminal Pte Ltd, Singapore
- Bharathi Cement Corporation - India
- Bank of Tokyo Mitsubishi UFJ Ltd
- Essar Steel Hazira Ltd - India
- Sojitz Corporation - Japan
- Ministry of Mines - Canada
- Neyveli Lignite Corporation Ltd, - India
- Toyota Tsusho Corporation, Japan
- Australian Coal Association
- Thiess Contractors Indonesia
|
| |
| |
|
