The reduced availability of hydro-power due to deficient rainfall is increasing India's dependence on coal, which could lead to higher emissions and environmental concerns. Industrial sectors such as pig iron, cement production, and direct reduction of iron are also driving coal consumption. Power plant inventories are forecast to drop to around 27 million tonnes, nearly half of last year's levels, raising concerns about supply security. Additionally, weaker domestic coal production may strain utility operations during peak electricity demand periods.