Coal news and updates

Coal shortage leads to jump in power prices on energy exchanges

The coal shortage among thermal power plants across the country has led to a surge in spot market prices in power exchanges. Tangedco buys about 2,500 MW power from the exchanges to meet its peak demand needs.

The trading in power exchanges happen in 15 minute blocks and prices keep changing based on the demand.

According to data available the on Indian Energy Exchange website, from September 1 to 5, the spot power prices in the region, comprising Tamil Nadu and Puducherry, were over ₹8-₹9 per unit during evening hours in some of blocks.

For this period, the daily average price for the evening hours was nearly ₹5 per unit. In the comparable period in September 2020, the daily average price for evening hours was only ₹3.98 per unit.