New Delhi: The National Coal Index has shown a significant decline of 3.48 percent in June 2024 at 142.13 points compared to June 2023, when it was at 147.25 points. “This notable decrease indicates sufficient availability of coal in the market to meet the growing demands,” said the Ministry of Coal on Friday. The National Coal Index (NCI) is a price index that combines coal prices from all sales channels, like, Notified Prices, Auction Prices, and Import Prices. It considers prices of coking and non-coking coal of various grades transacted in the regulated (power and fertilizer) and non-regulated sectors.
Established with the base year as FY 2017-18, NCI serves as a reliable indicator of market dynamics, providing valuable insights of price fluctuations.
Additionally, the premium on coal auctions indicates the pulse of the industry, and the sharp decline in coal auction premium confirms the sufficient coal availability in the market. “The impressive growth of 14.58 percent in the country’s coal production during June 2024 as compared to the corresponding period of the last year ensures a stable supply to various sectors reliant on coal, significantly contributing to the overall energy security of the nation,” said the Coal Ministry.
“The downward trajectory of the NCI signifies a more equitable market, harmonising supply and demand dynamics. With sufficient coal availability, the nation can not only address burgeoning demands but also underpin its long-term energy requisites, thereby fortifying a more resilient and sustainable coal industry and fostering a prosperous future for the nation,” said the ministry.
(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)