Tue Apr 01 13:21:46 UTC 2025: ## Singareni Coal Production Falls Short of Target
**Hyderabad, April 1, 2025** – Singareni Collieries Company Ltd (SCCL), a Telangana public sector undertaking, has missed its coal production target for 2024-25 by 3 million tonnes, producing 69.01 million tonnes instead of the aimed 72 million tonnes. While March saw record monthly production of 8.91 million tonnes, overall production was hampered by several factors.
Higher coal prices impacted sales, resulting in lower dispatches of 65.27 million tonnes against the target of 72 million tonnes. Delays in starting production at the Naini Block in Odisha and some opencast mines also contributed to the shortfall. Competition from cheaper coal from other states, including Odisha and Chhattisgarh, further affected sales.
The company’s increased production costs, attributed to operating 22 underground and 17 opencast mines, are also a concern. Non-thermal power consumers, such as cement and sponge iron industries, reduced their purchases from SCCL due to cheaper alternatives. The potential loss of NTPC Ramagundam as a customer, due to higher Singareni coal prices (₹5,200/tonne vs ₹3,400-3,600/tonne from competitors), adds to the company’s challenges.
SCCL plans to improve efficiency through technology and machinery upgrades to reduce production costs and is diversifying into solar power, geothermal, and methanol production to bolster its long-term financial health.
First Piper 