• India’s domestic steel demand is expected to remain subdued until the Covid-19 pandemic is brought under control. This follows the back-to-back extensions of the lockdown, till May 31, ICRA said in its report. Early indications of an unprecedented demand slowdown are visible in the official data for March and April, which point to a steep year on year (YoY) contraction in steel demand of 22% and 91%, respectively.
  • As per Icra’s latest report on the sector, domestic demand is estimated to decline by 20% in FY2021, which will be the sharpest fall on record. Consequently, the ratings agency’s outlook on the domestic steel industry has been revised to negative from stable.
  • The government has announced a five-part package and has provided details of how it adds up to Rs 20.97 lakh crore and accounts for nearly 10% of the gross domestic product (GDP).
  • But over a dozen banks, brokerages and ratings agencies have said the package falls short of 10% of GDP and works out to around 1% and may not be enough to address the large-scale devastation inflicted by the pandemic across crucial sectors of the economy.
  • Minister of Coal and Mines Mr  Pralhad Joshi  said that the government doesn’t have any intention to privatise state-owned Coal India Ltd. Coal India will achieve 1 billion tonnes coal production by 2023-24 and as on date has enough number of coal blocks by which it can produce minimum for 50-60 years.
  • He said that the government has announced an investment of Rs 50,000 crores under Aatmanirbhar Bharat Abhiyan to create and develop infrastructure facilities for Coal India.
  • According to clean energy consultancy Bridge to India, Renewable energy capacity addition progress in the second quarter (Q2) and third quarter (Q3) of financial year 2019-20 (FY20) would continue to be affected by the coronavirus disruption. It expected only 24 GW to be added in this period in view of the various operational and financing challenges. And revised renewable capacity estimate for March 2022 is 116 GW including rooftop solar and open access projects.
  • Union Minister Dharmendra Pradhan on Saturday said that a long term policy reform has been made in the Coal sector to ensure that coal is available at cheaper rates and there’s more production.
  • Speaking on the fourth tranche of ₹20 lakh crore stimulus package, Pradhan said, “A long term policy reform has been made in Coal sector to ensure that coal is available at cheaper rates and there’s more production. The private sector has been allowed to enter the coal sector. Both public and private sector will work towards the production of coal.”