CIL Struggles: June Coal Production Drops Amid Monsoon Challenges

Coal India Ltd (CIL), a state-owned enterprise, announced an 8.5% decline in coal production for June, registering 57.8 million tonnes as opposed to 63.1 MT in the same month last year. This revelation comes amid governmental efforts to bolster coal output and diminish import reliance.

Industry experts point to the monsoon season as a primary factor for the reduced production, which impacts operational efficiency and distribution to power plants. Alongside production, the coal offtake by CIL also saw a 7.4% drop, from 65.2 MT to 60.4 MT.

Despite current setbacks, India's Coal Minister emphasized the country's readiness to avoid coal shortages, with strategic planning in place. CIL aims to achieve 875 million tonnes in production and 900 MT in offtake by 2025-26, underscoring the coal sector's crucial role in India's economic growth.

(With inputs from agencies.)