December 31, 2010 1:21 PM

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Coal import for power generation falls by 24 per cent this year

The Coal import for power generation has fallen by 24 per cent this year. It happened after plentiful rainfall boosted hydroelectricity generation reducing coal-based demand. According to Planning Commission, India's Coal imports for power generation will be 24 per cent less than estimated earlier. Plan panel's joint adviser, IA Khan, said, the country may import 34 to 35 million tonnes of thermal coal in the year ending March 31st as against the forecast of 45 million tonnes. The rainfall this year has been the most in three years. AIR correspondent reports, more than half of India's power plants use Coal as fuel. Demand for the fuel, according to government estimates, is likely to triple to 2 billion tonnes over the next two decades. Experts say, the economy, which is the second fastest growing major economy after China, needs to increase generation capacity 20 per cent to 200,000 megawatts by 2012 to sustain development programmes. Central Electricity Authority report reveals, hydro power output climbed 5.8% to 83,235 million units in the eight months ending 30th of November. Hydro power accounts for 22 per cent of the nation's installed capacity. While output of hydro-electric plants was ahead of the government's target by 0.5% in the eight months ended 30th of November, generation by Coal fired power stations was 4% less than estimated. Usually, hydro generation is around 80 to 90% of the target.

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