Coal India Ltd has denied media speculation that it has temporarily stopped the supply of coal to non-power customers, saying that no such negotiations or events were going on.

The Indian state-owned coal mining company said that due to the low stock position at the power house end because of the spike in economic activities during post Covid-19 second wave, coal supply was temporarily prioritized to the power sector to replenish their declining coal stock.

According to Coal India Ltd, in order to replenish the coal stocks in the shortest possible time, coal firms were advised by it to temporarily go slow in holding further e-auction of coal. However, the exception for this was the special forward e-auction for power, said the Indian government-owned coal mining and refining corporation.

Coal India Ltd said that its decision was a highly transitory measure to overcome the ongoing high demand situation in the power sector, with normalcy expected to be restored shortly.

  Coal India Limited, Coal industry news, India