News Brief | November 2016
Thermal power generation rose by 0.3 pc in Q2 | Report
Despite higher availability of coal, thermal power generation rose by a meagre 0.3 per cent during July-September quarter as compared to the corresponding period last fiscal, owing to lower system demand, as per a report by Reliance Securities. said in a report. According to the brokerage firm, total power generation during the quarter rose by 1.3 per cent on year-on-year basis to 287 billion units (BUs). Thermal generation rose by meagre 0.3 per cent owing to lower system demand despite higher coal inventory, while hydel generation improved by 3.5 per cent y-o-y following improved reservoir levels. ´Slow industrial demand along with weak financials of the state-run power utilities (SEBs) led to muted growth. All-India PLF for thermal sector stood at 54.6 per cent in 2QFY17 compared to 60.5 in 2QFY16,´ it said. The report, however, observed that the UDAY scheme would eventually lead to their improved financial health and ability to procure more power.
Contact: Reliance Securities