Adani Enterprises gets 17.3 million ton coal import order from NTPC

26 Jul 2022 , 08:48 AM

According to news reports, the New Delhi-based NTPC has placed orders for 20 million tonnes of imported coal for the fiscal year that ends in March, of which over 17.3 million tonnes have been given to Adani Enterprises Ltd.

The reports claimed that NTPC had already received nearly 7 million tonnes of foreign coal at its plants this year.

India’s electricity usage has reached a record high due to cooling demand during a scorching summer and a post-pandemic industrial resurgence. This has caused a shortage of local coal and prompted the government to advise businesses to import. In June, Coal India Ltd., the government-run company that provides fossil fuel, published the first-ever import tender.

According to a note published on Monday by Bloomberg Intelligence analyst Denise Wong, Adani’s ports division may have seen an increase in income in the June quarter as a result of the spike in imports. A solid transportation network and fixed contracts with electricity producers support the company’s “well-positioned to capture that demand,” she said.

Power plant coal inventories have increased by around 11% over the past month thanks to imports.