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<p><span style="font-size:11.0pt">CEA estimates demand of Power to rise at 6% per annum, which is likely to put a pressure on generation segment. To cater upsurging demand, coal imports of 240 MT would be required as estimated by CEA. Coal India&#39;s coal production&nbsp; levels this year have shrunken to low figures and have also failed to meet coal production targets. Government is in turmoil as dependence has shifted over to imported coal. International market coal prices have substantially risen to a soar high level to $ 100/tonne, rupee depreciation has also made coal more costlier. Imports of coal in current situation is not attractive for Power Producers, as Generation cost has steeply risen to Rs. 3.43 /unit from Rs. 1.86 /unit and producers would not be in a situation to recover cost.</span></p> <p><span style="font-size:11pt">Government must proactively resolve this coal crunch, else acute coal shortage may upswing, forcing many power plants to lie stranded. Imports in current situation are not viable for Thermal Power Plants, also &nbsp;domestic productions are not enough to meet rising demand needs. The sector is likely to experience uncertainty in upcoming years.&nbsp; &nbsp;</span></p>