Aluminium makers send SOS to PMO over coal stock
NEW DELHI: Aluminium manufacturers on Wednesday sent an SOS to the PMO (Prime Minister’s Office) for resumption of coal supply, saying shortage has pushed the industry to the brink which could adversely impact some 5,000 MSMEs (medium and small scale enterprises) in the downstream sector at a time they are coming out of the pandemic pangs and hit over 10 lakh jobs.
Coal stocks at aluminium plants turned critical after the government in August halved the supply from Coal India and further pared it to just 10% as rakes were diverted to shore up inventories at power plants. Coal supply was curtailed in spite of aluminium production being declared as a public utility service as it is of strategic importance and an essential commodity for diversified sectors that are crucial for the economy.
The shortage is now putting at risk investments of Rs 1.4 lakh crore, or $20 billion, the industry made to double the domestic capacity to over 4 million tonne per annum – or second largest capacity in the world.
