India has directed over 100 captive coal-fired power plants to run at full capacity from October 1 until the end of the year, in a bid to meet an anticipated increase in electricity demand, Reuters reported on September 26.

The order applies to 112 plants owned by companies such as Vedanta, Tata Steel, Hindalco Industries, JSW Steel, UltraTech Cement, Reliance Industries, Indian Oil, Bharat Aluminum, Hindustan Zinc and Nayara Energy.

The order from the federal power ministry, issued under emergency provisions of the Electricity Act, covers plants with an installed capacity of at least 50 MW.

According to the order dated September 25, it aims to address an expected rise in electricity demand in the coming months.

Nearly 40% of coal-fired plants are operating with critically low fuel stocks, following a spike in power demand as the El Nino climate phenomenon drives temperatures above normal levels.

These plants mainly supply industrial facilities, including aluminum smelters, steel manufacturers, cement factories and oil refineries.

India's power ministry has instructed generators to sell surplus electricity through power exchanges. The ministry has required plants to report weekly to the Central Electricity Authority, detailing generation, captive consumption, power sales, available capacity and coal stocks.

In addition, the ministry has extended an earlier emergency order requiring Tata Power's imported coal-fired plant in Mundra, Gujarat, to operate at full capacity until December 31, given the demand situation.

Section 11 of the Electricity Act permits the government, under exceptional circumstances, to direct generators to operate power plants in line with its instructions.