Jindal Power may Resume Power Supply Shortly to Raigarh Based Furnaces - Sources

SteelMint learned from market sources that Jindal Power Ltd (JPL) may resume power supply to Raigarh (Chhattisgarh) based induction furnaces soon.

Induction furnaces based in Jindal's industrial park in Punjipatra, Raigarh (Central India) are not operating at optimum utilisation amid irregular power supply by Jindal Power Ltd in last few days, which is the sole source for these furnaces.

Earlier mills were anticipating that power cut may be prolonged to a month.

There are about 25-28 induction furnaces in the industrial park, which produces about 70,000-80,000 MT ingot/billet per month and is a major source of raw material for north based rolling mills.

"There is some shortfall in power generation due to irregular supply of coal and it is expected that situation will be better in a week." said a source close to this matter.

Jindal Power Ltd, the first domestic private sector player to commission an independent power plant (IPP) in 2007, has a total installed capacity of 3,400 MW.

Present price of MS ingot in Raigarh are assessed at INR 33,800-34,000/MT, billet at INR 34,400-34,600/MT, C-DRI at INR 21,000-21,200/MT and P-DRI at INR 19,500-19,700/MT (same day payment), excluding 18% GST.