Coal India and its Power Play in Indian Summer
To focus on evacuation and strengthen supply chain
Coal India Limited (CIL) is well-positioned to capitalize on India’s burgeoning power demand. Increased electricity demand, projected to rise 9-10% in Summer 2025, necessitates a significant contribution from coal-fired power generation, directly benefiting CIL as India’s primary coal supplier. CIL’s ambitious production targets of 788 million tonnes (MT) and 765 MT offtake for FY25 represent a 1.5% year-over-year increase. Strategic investments in infrastructure, including railway enhancements, improved first-mile connectivity, and washery construction, are designed to optimize production and distribution. Furthermore, CIL’s diversification into renewable energy sources, such as solar power (including a commissioned 50 MW plant) and coal gasification projects, coupled with supportive government initiatives and financial incentives, are expected to fuel CIL’s growth and profitability in the foreseeable future.