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Maharashtra Likely to Plunge into Darkness as Centre Blocks Power Supply to State Due to Arrears

Maharashtra is likely to plunge into darkness in the coming summer and monsoon seasons as the state is facing a deficit of coal for power generation. The Centre’s supply of coal to the state has so far been erratic since last September and the situation worsened after the former sent a letter to the RBI and financial institutions asking them not to lend to Maharashtra State Electricity Distribution Company Limited (MSEDCL) due to arrears of Rs 72,000 crore.

However, Energy Minister Dr Nitin Raut has confirmed that efforts are being made to regularise the supply of coal.

One lakh and 38 thousand tons of coal is required daily for 100% operation of thermal power generation projects in the state. However, since September 2021, an average of one lakh and 20 thousand tons of coal is being supplied. As a result, due to non-availability of coal reserves in the last five months, a power shortage is expected in the coming months.

Coal is stored 200 to 300 days in advance for summer and monsoon. Out of the available coal, 5 to 10 thousand tons of coal is stored separately every day for monsoon season.

“MSEDCL is in crisis due to non-payment of electricity bill. You have to buy electricity by paying, so you have to pay the arrears. If such arrears increase, the people will have to face load shedding once again,” said Nitin Raut.

“The Principal Secretary of the Coal Ministry had come to Nagpur. Our secretary had gone to Delhi. As a Minister, I am pursuing myself. However, the first rule is that those who use electricity should pay for it. The Centre has written to the Reserve Bank and other financial institutions not to lend to MSEDCL due to arrears,” he said.

Last year, the total amount of electricity bill arrears was Rs 50,833 crore. This year, it has gone up to Rs 71,578 crore. Lockdown gave time to pay electricity bill. However, many customers have not yet paid their bills in the hope of getting a waiver.

The same amount of coal is currently left in power projects in the state: Koradi Thermal Power Station 1660 MW for three days; Koradi Thermal Power Station 2210 MW for six days; Nashik 420 MW for two days; Bhusawal 1210 MW for one day; Parli 750 MW for a day and a half; Paras 500 MW for four days; Chandrapur 2920 MW six days; Khaparkheda 1340 MW 11 days.

One of the three units of the Parli thermal power plants has been shut down due to lack of coal. It generates about 250 MW of electricity per day. However, due to insufficient supply of coal, power generation has been stopped since February 25, 2022. The thermal power plant needs 30,000 tons of coal to run at full capacity, but at present only 16,000 tons of coal is being supplied. If this situation continues, it is likely to affect the power supply.

In February 2021, the state had 2.2 million tonnes of coal reserves. However, at the end of the rainy season, there was a power shortage. Due to irregular supply this year, only 6 lakh tonnes of coal is left in February.

The finance ministry has said that the state treasury will not be able to bear the burden of Rs 72,000 crore electricity bill arrears.

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