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MCL loses Rs 213 cr as coal production affected for 12th day


Sambalpur: Coal mining and despatch operations continue to remain paralysed on 12th consecutive day on Sunday at Talcher Coalfields of Mahanadi Coalfields Limited (MCL).

It has increased losses of all the stakeholders of the company-power producers, contractors, mirco and small businesses, employees as well as peripheral villages.

As on date, company has incurred cumulative operational losses up to 21.04 lakh tonnes of coal, 24.20 lakh tonnes of despatch and 20.54 lakh cubic metre of over burden removal while its coal value loss stands at Rs 213.60 crore, said an MCL release.

Power generation loss

The stoppage of Talcher mines by villagers has indirectly affected power generation loss to the tune of 3339.04 Million Units, as power producers are facing shortage of coal.

NTPC’s Kaniha plant has been forced to close four of its six units while Talcher Thermal Power Plant (TTPS) is running at 50 per cent of Plant Load factor (PLF).

Major Power Plants in Southern India namely, APGENCO, APPDCL in Andhra Pradesh, TANGEDCO,  Neyvelli Lignite Corporation and NTEL ( A joint venture of NTPC & TNEB) in Tamil Nadu, and KPCL in Karnataka all have reported depleting stocks of coal and on the verge of closing their units.

Rs 1,045 lakh loss to Talcher

The stoppage of all the nine coal mines in Talcher following an accident at Bharatpur mines has a negative impact on all business and social activities in the coalfields area.

Due to continuing loss to the coal production and despatch, Talcher has lost Rs Rs 1,045 lakh contribution under District Mineral Fund (DMF) and Corporate Social Responsibility (CSR).

The peripheral villages of MCL are entitled to the benefits from the DMF, for which company contributes Rs 42.63 per tonne.  However, with no coal production for the past 11 days, peripheral villages of Talcher coalfields have lost Rs 895 lakh for DMF.

Similarly, coal production and dispatch loss have proportionately affected the company’s share to Corporate Social Responsibility (CSR). As per an estimate, the Talcher coalfields will lose Rs 150 lakh against CSR.

While the Central and the State exchequers continue to bear the major loss of Rs 138.26 crore, the closure has severely affected at least 40,000 families directly or indirectly depended on MCL and coal mining operations.

MCL, the top contributor to Odisha under CSR, had spent Rs 267 crore on various socio-economical development projects during the financial year 2018-19.

Worried truck owners

Talcher Truck Owners’ Association called on the Collector, Angul yesterday and submitted a memorandum seeking his intervention for restoring normalcy in Talcher coalfields.

About 5,000 trucks, primarily engaged in the transportation of coal, are stranded in Talcher due to ongoing stoppage by some of the villagers.

The company, with 144 million tonne coal production during 2018-19, is the second-largest coal producing subsidiary of Coal India Limited, contributing 20 per cent to the total dry fuel produced in the country.