An overview on Thermal coal logistics and Port dynamics

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An overview on Thermal coal logistics and Port dynamics Page 1 of 26

An Overview on Thermal Coal Logistics

& Changing Port Dynamics in India

Presented by: Satya Pal

Business Analyst, MD officeSical Logistics Ltd


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Disclaimer: The analysis done is as per the understanding of the author about the industry.

Information in this report has been sourced from newspapers, trade journals, white papers,industry portals, government agencies, monitoring industry news and developments, andthrough access to databases. Analysis methods used include historical trend analysis,

judgmental forecasting, and cause and effect analysis. Any facts/numbers if misquoted is

purely incidental. The author of the document is just trying to present his own ideas aswhat the company can consider for the future.


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Executive summary:

India, Asias 3rd

largest economy is fighting all odds to fulfill its promise of supplying

power to all by adding 1 lack MW by 2012. While the coal dominates Indias energy

basket and will continue to do so, it opens up a huge business potential for a logistics

service providers.

Demand generators of thermal coal:

Unlike the source of coal, which is mainly concentrated in the eastern part of India, the

power generating companies are scattered all through out the country. Around 56% of the

coal logistics is done by railway, only 5% of indigenous coal is handled through port, butat the same time around 50% of the volume of major ports is contributed by indigenous

coal. This shows the inefficiency of major ports in India.

But the scenario is changing; with modern ports coming up in BOT basis also the

upcoming power plants are being strategically located near ports to use imported coal as afuel. We will try to anticipate the paradigm shift in this paper.

Origin and alternate sourcing of thermal coal:

Coal India limited and its subsidiaries are the major producers of coal. 257.754 million

Tonnes (provisional) of coal were produced by Coal India Ltd. and its subsidiaries during

2007-08(April-December) Singareni Collieries Company Limited (SCCL) are the mainsource for supply of coal to the southern region.

Though the price of indigenous coal is much cheaper than the imported coal, but the high

calorific value and low ash content of imported coal reduces overall logistics cost

drastically, making it a feasible and alternate choice. Apart from calorific value,unavailability of railway rakes and coal linkage are the other big issues with power

generating companies, dealing with domestic coal for their production.

Transportation channels- changing trend:Apart from the quantity issue, untimely delivery of coal has also resulted into stock outs

in many thermal plants. In fact the inefficiency in thermal coal logistics is the majorcause of concern for the Indian power sector. Railway is the largest logistic provider for

delivering coal/coal products to consumption points and there are two main reasons to

this-

The consumption / supply points are mostly located at long distance from the mine.

This essentially requires a solid material handling and bulk distribution system

In this research we have captured the present traffic of thermal coal through various

ports. Also, in light of increasing thermal coal demand and upcoming key projects in

Indian port sector, we have attempted to analyze the probable shift of coal traffic amongvarious ports.


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Executive summary:............................................................................................................ 3

Maps:................................................................................................................................... 5Tables:................................................................................................................................. 5

1. Demand generators: ........................................................................................................ 6

1.1 Thermal Power Plants- Present and future scenario: ................................................ 61.2 Thermal Power Plants- State wise: ........................................................................... 8

Maharashtra................................................................................................................. 8Gujarat......................................................................................................................... 8Andhra Pradesh........................................................................................................... 8

Tamil Nadu ................................................................................................................. 8

Orissa .......................................................................................................................... 8

Rajasthan..................................................................................................................... 8West Bengal ................................................................................................................ 8

Uttar Pradesh & Bihar................................................................................................. 9

2. Source: .......................................................................................................................... 103. Transportation channel: ................................................................................................ 12

3.1 Present port scenario: .............................................................................................. 13

3.2 Port scenario- State wise:........................................................................................ 15Gujarat....................................................................................................................... 15

Maharashtra............................................................................................................... 15

Andhra Pradesh......................................................................................................... 16

Karnataka .................................................................................................................. 17Tamil Nadu ............................................................................................................... 17

Orissa ........................................................................................................................ 18

3.3 Key projects coming up at major and Non-major ports:......................................... 194.0 Changing trend a probable shift in coal traffic: .......................................................... 21

Maharashtra: ............................................................................................................. 22

Gujarat: ..................................................................................................................... 22

Andhra Pradesh:........................................................................................................ 23Tamil Nadu: .............................................................................................................. 23

Orissa: ....................................................................................................................... 23Rajasthan:.................................................................................................................. 24

West Bengal:............................................................................................................. 24

UP & Bihar: .............................................................................................................. 24

Exhibits: ............................................................................................................................ 25

Exhibit 1: State wise Thermal Power Plants..................................................................... 25

Exhibit 2: Present & upcoming thermal power plants, coal sources and present &

upcoming ports.................................................................................................................. 26


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Maps:Figure 1.1.1: Existing Thermal Power Plants

Figure 1.1.2: Upcoming Thermal Power Plants

Figure 2.0.1: Source of Indigenous Thermal CoalFigure 3.1.1: Existing Major & Non-major ports

Figure 3.2.1: Ports of GujaratFigure 3.2.2: Ports of MaharashtraFigure 3.2.3: Ports of Andhra Pradesh

Figure 3.2.4: Ports of Karnataka

Figure 3.2.5: Ports of Tamil Nadu

Tables:Table 1.1.1: Upcoming UMPP

Table 3.0.1: Major Ports in India & comparison of coal with other commodities

Table 3.1.1: State wise coal traffic at Non-major portsTable 3.1.2: State wise summary of Major & Non-major ports

Table 3.3.1: Upcoming Key projects at Major portsTable 3.3.2: Upcoming Key projects at Non major portsTable 4.0.1: Coal traffic trend at Non-major portsTable 4.0.2: Imported coal based plants and probable shift in port traffic


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1. Demand generators:

1.1 Thermal Power Plants- Present and future scenario:

With around 52% of Indias total power generation currently based on coal, the power

sector is the major consumer of the fossil fuel in the country. Absorbing nearly 78% of

the total domestic production, coal demand in India is expected to grow rapidly as thecountry seeks to add 78,000MW of generating capacity during 11

thfive year plan.

At present there are around 130 thermal power plants operational in India and roughly 69

more is expected in next few years. Apart from these there are also plans for the capacityaddition and R&M for the existing thermal power plants.

As per our desk research based on secondary data and certain assumptions, present

demand for thermal coal in India is roughly 484 million tones per annum, while the future

additional demand is going to be around 790 million tones per annum, out of which 623million tones will go to upcoming projects and rest for capacity addition.

The Ministry of Power, Govt. of India in association with CEA & PFC has launched an

initiative for development of nine coal-based

Ultra Mega Power Projects of about 4000 MW

capacity. Out of these nine UMPPs, four areproposed to be set up at pit head sites, one each

in Madhya Pradesh, Chhattisgarh, Orissa and

Jharkhand and five to be set up at coastal sitesone each in Gujarat, Karnataka, Maharashtra,

Andhra Pradesh and Tamil Nadu. It is proposed to set up pithead projects as integrated

Figure 4.1.1: Existing Thermal Power Plants Figure 1.1.2: Upcoming Thermal Power Plants

Table 1.1.1: U comin UMPP


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with corresponding captive coal mines while for the coastal projects, imported coal shall

be used.


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1.2 Thermal Power Plants- State wise:

As evident from the Exhibit 1, UP, West Bengal and Maharashtra are the top three statesin terms of thermal power generation, where the later two states are coastal state. Thermal

power plants are operational in all parts of the country; hence not all the power plants are

dependent on imported coal. For the purpose of this report we will limit our discussion

only for the power plants which depends upon imported coal.

Maharashtra

Power plants of Tata Power, Reliance Infrastructure Ltd and MSEB use some amount of

imported coal for running their power plants. Ports in the state currently handling coal

traffic include Mumbai, Dahanu and Dharamtar.

Gujarat

There are about five power plants in Gujarat, which rely on some amount ofimported coal. They are the Sabarmati TPS, Gandhinagar TPS, Sikka TPS, Ukai TPS

and the Wanakbori TPS. Adani Power Station commenced operations in 2009, whereas

the Tata UMPP is expected to commence by 2012, both plants are based on importedcoal.

Andhra Pradesh

Ramagundam TPS operated by APGENCO and Simhadri TPS operated by NTPC meet

some of their coal requirements through imports.

Tamil Nadu

The four power plants of Tamil Nadu meet some of their coal requirements through

imports. These are the Ennore TPS, Mettur TPS, North Madras TPS and Tuticorin

TPS, all operated by TNSEB.

Orissa

The Talcher TPS (Orissa) operated by NTPC is meeting some of its coal requirements

through imports. Currently, Paradip is the only port in the state that is handling coal

traffic.

Rajasthan

RRVVNL operates the Suratgarh TPS. Since the state does not have any operationalports, the power plant sources its requirements from the ports in Gujarat.

West Bengal

The Farakka TPS is located in the state of West Bengal. Currently, only the Haldia port

handles traffic of thermal coal in the state.


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Uttar Pradesh & Bihar

The National Capital Power Station and the Kahalgaon TPS located in Uttar Pradesh andBihar, respectively meet their coal requirements through the port of Haldia.


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2. Source:

The major coalfields in India lie on its eastern part, unlike thermal power plants which

are spread all across the India.

The coal industry is a highly-regulated industry which gives it a monopolistic character.

Only government-owned/managed/controlled companies are eligible to mine and tradecoal without the restriction of captive consumption. Coal India Limited (CIL) and

Singareni Collieries Company Limited (SCCL) account for nearly 92 percent of the total

coal produced in the country.

The salient features of the Indian coal industry

India is the third largest producer of coal in the world. Coal is one of the primary sources of energy, accounting for about 67% of the total

energy consumption in the country.

India has the fourth largest reserves of coal in the world (approx. 197 billiontonnes.).

Figure 5.0.1: Source of Indigenous Thermal Coal


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Coal deposits in India occur mostly in thick seams and at shallow depths. Non-coking coal reserves aggregate 172.1 billion tonnes (85 per cent) while coking coalreserves are 29.8 billion tonnes (the remaining 15 per cent).

Indian coal has high ash content (15-45%) and low calorific value. With the present rate of around 0.8 million tons average daily coal extraction in the

country, the reserves are likely to last over 100 years. The energy derived from coal in India is about twice that of energy derived from

oil, as against the world, where energy derived from coal is about 30% lower than

energy derived from oil.

As of 2003, India has 19 coal washeries (total capacity:27.2 million tonnes perannum) of which 15 are owned by CIL.

Power demand in the country touched an all-time high of 99,027 MW recently, a year-on-year growth of over 16%. It is expected that the demand will further soar up to as much

as 315,000 MW by 2017 at an average GDP growth rate of 8% per year, which is more

than double the demand for power from now.

Coal India Limited (CIL) (which have 8 subsidiaries) and Singareni Collieries CompanyLimited (SCCL) account for nearly 92 percent of the total coal produced in the country.

Existing thermal coal demand for power generation in India is around 484 million tones

per annum, out of which approximately 22 million tones of thermal coal are being

imported yearly. Coal India Ltd (CIL), which currently meets 82% of the power sectorsthermal coal demand, will not be able to keep pace with the power sectors incremental

need because of hurdles in developing new mining projects. So the ministry wants to

encourage the power sector to go for larger imports, in 2008-09, Indias total thermal coalimports were 37.92 million tones.

Having said so much about indigenous coal supply demand mismatch, there are also anoption of importing coal. This trend is catching up in recent past as the quality of the

imported coal from Australia, Indonesia or south Africa is much superior that that of

domestic coal allocated to the power utilities, which in turn reduces the transportation andhandling charges.


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3. Transportation channel:

Around 56% of the coal logistics is done by railway, only 5% of indigenous coal is

handled through port, but at the same time around 50% of the volume of major ports is

contributed by indigenous coal. This shows the inefficiency of major ports in India.

Table 3.0.1: Major Ports in India & comparison of coal with other

commodities


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3.1 Present port scenario:

There are total 12 Major and 187 Non-major ports in India as of now. Capacities of someof the non major ports are better than that of the major ports. States like Maharashtra,

Gujarat, Kerala, Andhra Pradesh, Tamil Nadu, Karnataka and Goa are coming up with

green field projects in port infrastructure, while existing ports are going ahead withcapacity addition.

In 2007-08, country handled around 79 million tones of coking and thermal coal at major

and non-major ports. Main source of coking coal is Australia, while that of non cokingcoal is Indonesia.

Table 3.1.2: State wise summar of Ma or & Non-ma or ortsTable 3.1.1: State wise coal traffic at Non-ma or orts


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Key ports handling coal traffic includes major ports of Paradip, Vizag, Ennore, Tuticorin

and non major ports of Bedi, Bhavnagar, Jafrabad, Magdalla, Navlakhi, Mundara,Dahanu and the recently set up ports of Gangavaram and Krishnapatnam. Around 95% of

coal is transported through rail from ports and the rest through road. Key factors taken

into account while selecting a port for handling coal include nearness to the plant,operating efficiencies at the port, facilities to handle coal at the port and total port

charges. Coal is usually transported in panamax and handy max vessels. Some ports havededicated terminals to handle coal traffic while rest use general cargo berth for the coal,naturally among the power generating companies former one is preferred.

Figure 6.1.1: Existing Major & Non-major ports


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3.2 Port scenario- State wise:

As shown in the table 3.1.2, Gujarat has the maximum number (21) of operationalnon-major ports in the country followed by Tamil Nadu and Maharashtra. Although,

Maharashtra has the highest number of non-major ports, most of them are not operational.

Out of the total traffic handled, nearly 72.5 per cent is handled by ports in Gujarat.

Although, setting up of non- major ports in other states has resulted in a marginaldecline in the share over the years of total traffic in Gujarat, yet it remains the largestcontributor.

Gujarat

The state of Gujarat has one major port (Kandla) and 41 non-major ports. The state

enjoys a strategic location advantage in terms of being the nearest maritime outlet from

India to Africa, West Asia, and Europe.

Sikka is the largestnon-major port in

Gujarat, having a

share of 41 per centof the total traffic at

70 million tones.

Mundra and Magdallaalso feature among

the other big non-

major ports in thestate.

In 2007-08, non-

major ports in the

state of Gujrathandled nearly 71 per

cent of the total

traffic of non- major ports in the country. The hinterland of Gujarat ports extends up tothe northern and central India covering the states of Gujarat, Rajasthan, Haryana, Punjab,

Madhya Pradesh, Uttar Pradesh, Jammu & Kashmir and Himachal Pradesh. In 2007-08,

the capacity of the non-major ports in Gujarat was 197 million tones, whereas the traffichandled was around 148 million tones, resulting in a capacity utilization of 75 per cent.

POL has the largest share of the traffic while coal and general cargo constitutes the other

key commodities handled by the non-major ports in the state.

MaharashtraThere are 53 ports that stretch across the entire length of the coastline. The distanthinterland of the port stretches to far north to Himachal Pradesh, Punjab, Haryana,

Rajasthan, Western UP and Delhi; and Madhya Pradesh, and Chhattisgarh to the East.

The adjacent hinterland includes the industrial belt of Mumbai, Thane, Roha and parts of

Maharashtra.

Figure 3.2.1: Ports of Gujarat


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In 2007-08, the non-major ports of Maharashtra handled traffic of 11.61 million tones, an

increase of 0.4 per centover the previous year. Iron

ore forms a major portion

of traffic handled by thenon-major ports while coal

and building materials formthe other key constituentsof traffic of the ports in

Maharashtra. The important

non-major ports in

Maharashtra are the portsof Dharamtar and Ulwa-

Belapur. Dharamtar port

enjoys a 56 per cent sharein the total non-major

traffic of the state. Ulwa-

Belapur handled traffic of1.4 million tones during the

year, thus having a 12 per

cent share in the total

traffic.

Andhra Pradesh

The state of Andhra Pradesh has 13 ports that stretch across the length of the coastline out

of which one is a major port (Vizag), the remaining being non-major.

The states of Chhattisgarh,

Madhya Pradesh, NorthernKarnataka, and Western

Maharashtra and Southeastern Orissa comprise of

the key hinterland markets

for the ports in this state. In2007-08 the non-major

ports of this state handled

around 10 per cent of the

total traffic handled by nonmajor ports in the country.

POL forms a major portion

of traffic handled by the

non-major ports.

Key non-major ports

include the ports ofKakinada Anchorage,

Figure 7Figure 3.2.2: Ports of Maharashtra

Figure 3.2.3: Ports of Andhra Pradesh


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Kakinada Sea port and Rawa. Kakinada sea port enjoys a 65 per cent share in the total

non-major traffic of the state. Kakinada Anchorage 21 per cent shares in the total trafficwhile Rawa handled 13.6 per cent share of the total traffic.

Karnataka

The state has 11 ports in which one is a

major port (New Mangalore).

Iron ore forms a major portion of traffichandled by the non-major ports

contributing 90 per cent of the totaltraffic handled.

Key non-major ports in Karnataka

include the ports of Karwar andBelekeri. At 6.1 million tones of traffic,

Belekeri port enjoys a 68 per cent share

in the total non-major traffic of the state.

Karwar port handled traffic of 2.7million tones during the year, thus

having a 30.5 per cent share in the totaltraffic.

Tamil Nadu

The state of Tamil Nadu (TN) has got a vast coast line of 1000 kms. The state has 15

ports out of which three are major ports (Ennore, Chennai, and Tuticorin).

POL forms a main portion of traffichandled by the non-major ports. Its

share in the total traffic has gone down

from 88 per cent in 2002-03 to 80 per

cent in 2007-08. Other traffic and coalform the remaining key constituents of

traffic of the ports in TN.

Key non major ports in Tamilnadu

include the ports Thirukkadaiyur,Nagapattinam and PY-3 oil field.

Nagapattinam port enjoys a 37 per

cent share in the total non major trafficof the state. Thirukkadaiyur port

handled 30.3 per cent share in the total

traffic and PY- 3 oil field handled 18.5per cent share in the total traffic.

Figure 3.2.4: Ports of Karnataka

Figure 3.2.5: Ports of Tamil Nadu


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Orissa

The state of Orissa located on the east coast of India has a coast line of 480 kms. Theimportant minor ports in the state are Gopalpur, Behrabalpur and Dhamra port. State is

well known for its iron ore mines and steel plants.


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3.3 Key projects coming up at major and Non-major ports:

Table 3.3.1: Upcoming Key projects at Major ports

Key projects for the concern of thermal coal are: deep draft berth in Paradip with a

capacity addition of 10 Mill tones, mechanized coal handling facility at Vizag which willnot only increase the capacity by 3.3 Mill tones but also increase the port efficiency and

decrease vessel turnaround time. Ennore port is coming up with additional coal terminal

with a capacity of 8 mill tones per annum, while Mormugao will build a dedicated coal

terminal with a capacity of 7 MMTPA, presently it is handling coal traffic through itsgeneral cargo berth.


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Table 3.3.2: Upcoming Key projects at Non major ports

There are also key projects for coal traffic at non major ports coming up. Mundra port is

coming up with a dedicated coal terminal with a capacity of 15 MMTPA. Dholera willhave a capacity addition of 15 mill tones, which will shift some of the traffic from

various ports of Gujarat. Dahej is also coming up with a dry bulk terminal which can

cater to the coal requirement for the plants in or near Dahej.In Maharashtra also some interesting projects are coming up, one of them is Dighi port,which is planning to have dedicated coal berth, container terminals and general cargo

berth. It will play a vital role in the coal movement of the upcoming UMPP in

Maharashtra.

Port of Krishnapatnam phase 2 will enhance its coal handling capacity and as the port ofChennai is discouraging coal traffic due to environmental issues, Krishnapatnam will be

next in line to receive coal traffic along with Ennore, Karaikal and Nagapatinam.

Apart from the above mentioned projects, Dharma and Gopalpur port of Orissa is also

planning to build coal and general cargo terminals respectively.


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4.0 Changing trend a probable shift in coal traffic:

With a coal-based power generating capacity of about 70% of total installed capacity, the

demand of thermal coal is estimated to be about 415 Mt by 2011/12 (Source: The ministry ofcoal). Environmental concerns, logistics hurdles and unavailability of indigenous coal

linkage is leading towards a trend of importing coal. Traffic at Indian port is set to grow

at a CAGR of 9% to 1.16 billion tones in 2013-14. A certain shift in traffic to newer andmore sophisticated ports is eminent considering expected growth in traffic, congestion at

existing ports, cargo handling equipment, draft, logistical distance and cost advantagethat some of the new ports have to offer to the hinterland. The states of Andhra Pradesh,

Orissa and Gujarat are expected to see significant shift in traffic pattern. We

expect the operational ports of Mundra, Gangavaram and Krishnapatnam and theupcoming ports of Dhamra, Gopalpur, Dholera, Kirtania and Dighi to increasingly

garner higher share of traffic from the existing ports.

Table 4.0.1: Coal traffic trend at Non-major ports


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ble 4.0.2: Imported coal based plants and probable shift in port traffic

Maharashtra:

Trombay power plant currently sources its coal requirements for the ports of Mumbaiand Dharamtar. Mumbai port does not have a dedicated coal jetty and is working at an

utilisation rate of 121 per cent; hence, we expect the Dharamtar port to handle

incremental coal traffic for the power plant.

Dahanu power plant being located close to the Dahanu port, meets its coalrequirements from this port, hence no shift in traffic is expected.

Khaperkheda TPS is located near Nagpur and it uses ports of Mumbai and

Visakhapatnam for coal import. However, with the port of Gangavaram being setup

(greater draft, dedicated coal berth and very low utilization), the traffic might shift there,as importing coal to eastern is a rational move if the import is from Indonesia.

Gujarat:

The Sabarmati TPP and Gandhinagar TPP source their imported coal requirements from

Kandla (178% capacity utilization) and Mundra that handle coal from their

multipurpose berth. Ports of Dahej and Dholera plan to setup terminals by 2011 forhandling dry bulk cargo, but currently they dont offer end rail connectivity. Keeping in

account the congestion at Kandla and the distance advantage these ports

have over the former two, it can safely be presumed that some of the traffic


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will shift, once the end rail connectivity is in place.

Sikka TPS handles its coal requirements from the port on account of its proximity,

hence no shift is expected.

The Ukai TPS near Surat, handles its coal requirements from the port of Magdalla. With

commissioning of the coal at Hazira in 2012, coal traffic will shift to Hazira port.

Being close to the power plant, the port of Hazira enjoys transportation coatadvantage of Rs 25.7 per tonne.

The Wanakbori TPS is located near the city of Ahmedabad and currently handles its

coal requirements from ports of Magdalla and Bhavnagar. Once c o a l j e t t y a t

Dh o l e ra po r t g e t s commenced, coal traffic will shift to the port of Dholera. The

port of Dholera offers a distance and cost advantage (Rs 96.4 per tonne over Magdallaand Rs 34 per tonne over Bhavnagar) to the location of the power plant.

Adani Power Plant commenced operations previous year and the Tata Power

UMPP is expected to commence operations in 2012-13. Both these power plants are

reliant on 100 per cent coal imports for their power generation. As they are located close

to the Mundra port, a dedicated coal terminal is being set up at Mundra port to handlecoal for the requirements of both these power plants.

Andhra Pradesh:

Being located close to the port of Visakhapatnam, both Ramagundam as well as

Simhadri TPP source their requirements from this port. Only competing port isGangavaram, not in terms of logistics or cost advantage, but in efficiency (due

to dedicated coal-handling facility with specialized equipments for faster

handling) hence, there will be a shift in coal traffic only if larger ships need to behandled or there is a need to handle cargo faster. Currently, the port of Gangavaram

does not have end rail connectivity but is in the process of implementing it.

Tamil Nadu:

The Ennore, Mettur and North Chennai thermal power plants handle their coal

requirements through the Ennore port. Sical Logistics Ltd, which operates the coalterminal, has entered into an agreement with TNSeB to handle coal at the Ennore

terminal for 20 years. Due to this, coal traffic is not expected to shift to any other

port. Moreover, power plants are located near the port itself. The ports coal terminalis currently working at an utilisation rate of 69 per cent.

The Tuticorin TPS, being located close to the Tuticorin port, sources its imported

coal requirements from this port. The coal berth at Tuticorin is operating at an utilisation

rate of 98 per cent. Since there is no other port in the vicinity, this port will continue tohandle coal requirements for this plant.

Orissa:

Talcher TPS (NTPC) is currently meeting its coal requirements through the Paradip

port, which has a dedicated berth for handling coal cargo and is currently operating at a

capacity utilisation of 67 per cent. The port is in the process of setting up a deep

draught coal berth, expected to be operational by 2012. The port also offers a good draft


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of 12.5 m and can handle Handysize, Handymax as well as Panamax vessels. Hence we

do not expect any shift in traffic to any other port.

Rajasthan:

Suratgarh TPS currently handles its coal requirements from the ports of Kandla and

Mundra. Once the port of Dholera with dry bulk handling capacity comes up (by 2012)

the traffic is expected to shift here. The shift from the port of Kandla will be mainly due

to 178 per cent capacity utilisation at the Kandla ports general cargo berth, where coalis being handled. The shift from Mundra port will be due to the distance advantage and

cost advantage of Rs 39 per tonne over Dholera.

West Bengal:

For the power plants located in West Bengal, only the Haldia port handles coal traffic,

which is grossly underutilized (24%). Still there is a possibility for thet r a f f i c t o sh i f t t o t he po r t o f Pa r ad i p , a s t he po r t o f Ha l d i a su f f e r s

f r om l ow d r a f t l eve l due t o s i l t a t i on i s sues .

UP & Bihar:

We expect coal handling for the power plants to shift to the port of Paradip in the

future due to draft issues at Haldia.


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Exhibits:Exhibit 1: State wise Thermal Power Plants


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Exhibit 2: Present & upcoming thermal power plants, coal sources and present & upcoming ports

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