As many as 20 industries have stopped buying coal from Singareni, citing high prices.

Power plants express concern

Sales to power plants have become critical for Singareni, but even these buyers are considering alternatives due to pricing. Telangana State Power Generation Corporation Limited has told the state government that high Singareni coal prices are increasing its cost burden. The utility reiterated this concern in a submission to the Telangana Electricity Regulatory Commission, stating that power generation costs at its plants remain elevated for this reason.

Production and sales miss targets

In 2021-22, Singareni transported 65.53 million tonnes (MT) of coal. This fell to 65.23 MT in 2024-25. In the current financial year (2025-26), the company set a target of producing and selling 51.47 MT during the nine months from April to December. Actual production stood at 43.78 MT, while sales were 44.17 MT. Compared with the same nine-month period last year, production fell 6.60% and sales declined 4.35%.

Adilabad village fines ₹5,000 for wearing footwear

Centre reviews alternatives

Sources said National Thermal Power Corporation has also flagged Singareni's high coal prices and asked the Union coal ministry to explore supplies from Coal India or Mahanadi Coalfields. At a recent meeting of national coal producers in New Delhi, officials expressed dissatisfaction over Singareni's performance, coal quality and pricing.

TSGENCO has written to Singareni stating that coal prices in some grades are up to 100% higher. Despite paying these prices, quality coal is not being supplied, engineers said. Poor-quality coal, they added, has reduced power generation and increased pollution at plants.

Production and sales (million tonnes)

*April-December