Coal India Unions’ Strike to hit Power Sector

The five-day nationwide strike called by Coal India unions entered its second day. Around five lakh coal workers across the country were on strike opposing ‘disinvestment and restructuring of state-run Coal India’.

Negotiations between the union leaders and the officials failed on Tuesday. The Coal Minister Piyush Goyal is likely to discuss with the union leaders today. The five trade unions – BMS, INTUC, AITUC, CITU and HMS called for five-day nationwide strike demanding demanding rollback of process of denationalizing coal of coal sector.

The strike would affect the coal production by 75 per cent across India. On the first day of strike, the coal production loss was estimated to the tune of Rs 70 crore. Coal India has been the major coal producer in India, accounting for nearly 82% of the domestic output.

The strike will have impact on the power sector in India. NTPC, the largest power producer in India, is depending on coal for power production. And disrupt in the coal supply would affect power productions.

The coal production in Odisha has been affect following the strike called by five trade unions. Mahanadi Coalfields Ltd. (MCL), a subsidiary of state-owned Coal India Limited, is suffering loss of Rs 10 crore per shift due to the strike, officials said. The power sector in the state will be affected badly if the strike continues for few days further. MCL has been supplying coal to a number of power companies – NTPC, Talcher Thermal Power Station and Nalco, Aluminum Company. Due to the strike, 11 mines in Talcher were affected.