Non-power coal users claim shortage; government denies

NEW DELHI: India’s aluminium smelters, textile mills, sponge iron and fertiliser-makers say they face a coal shortage as power generators take the bulk of supplies.
Top miner Coal India Ltd, which accounts for more than 80% of India’s production of the fuel, and the coal ministry, deny there is a problem.
In a letter to the Prime Minister Narendra Modi dated February 7, eight industry associations including the Aluminium Association of India and Fertilizer Association of India urged the government to ensure a “justified ratio of coal allocation between power sector and industries”.
They do not give precise figures on the extent of the shortage, but industry officials said the government’s policy of prioritising coal shipments to power generators rather than the non-power sector in response to high prices and reduced imports had caused panic and uncertainty.