Be ready to face competition in coal market

Hyderabad: Congratulating all Singarenians for achieving highest sales, coal transport and coal production during 2018-19 financial year, SCCL C&MD N Sridhar called for everybody to work with the same zeal to achieve the set target of 700 lakh tonnes coal production in the coming financial year. He held a video conference from Hyderabad Singareni Bhavan with all the directors and area general managers of all areas on Thursday.

He congratulated all the officials, workers, supervisory staff and union leaders for having created history and breaking all records in the last five years in coal production, transport and achieving turnovers. He broached on the point that last year over burden (OB) removal was not as expected and this year OB removal and production targets must be reached by using the heavy machinery to capacity. He said that the production in underground mines was not up to the mark and special attention has to be taken to reduce the losses.

He said that 80 coal blocks have been allotted to different government and private organisations and coal production would start very soon from these blocks. The cost of the coal produced from these blocks would be very less and hence there would be tough competition for companies like Singareni nationwide.

Not just this, due to the traditional usage of electricity in other countries and also other reasons the price of coal is gradually coming down, Sridhar said. Due to this there is a possibility of foreign coal being available at a cheaper price in India and hence there will be competition from this as well. In such a situation steps have to be taken to reduce the production cost by government companies and Singareni also should be prepared to work in this direction. Production cost can be reduced only when the machinery is used to full capacity and at the same time the workers also have to work efficiently. He said everybody has to work in this direction.

SCCL C&MD urged everyone to work to maintain safety and quality as customer's confidence will deplete with low quality and also heavy penalties will also have to be paid. He discussed the area wise targets to be achieved with all concerned area General Managers. He said Company needs to surge ahead not just meeting the requirements of the state but also to ensure growth of the Company.