Calcutta, Oct. 7: Thermal power major NTPC Ltd plans to step up its own coal production amid concerns of shortage at generating stations.

The government-owned power firm is looking to have at least five of its 10 captive coal blocks ready for coal supply by the next financial year.

NTPC had been allocated eight coal blocks - Pakri-Barwadih, Chatti-Bariatu, Kerandari, Dulanga, Talaipalli, Banai, Bhalumuda and Mandakini-B.

In addition, the Centre has allocated Kudanali-Luburi coal block jointly to NTPC and the state of Jammu and Kashmir with NTPC bagging two-thirds share.

Further, the Barhandih coal block, which was earlier allocated to Jharkhand Urja Utpadan Nigam, has now been assigned to Patratu Vidyut Utpadan Nigam, a joint venture of NTPC with the Jharkhand utility.

The 10 coal blocks, taken together, have an estimated geological reserve of 7.3 billion tonnes and can produce up to 107 million tonnes (mt) of coal per annum.

"This year we are projecting to produce 3 mt from captive sources. Going forward, we are gearing up to have five coal mines ready for production.

"At Pakri Barwadih we are already producing, at Dulanga we will start production this year. Chatti Bariatu, Talaipalli will be awarded (to the mine developer and operator) this year. For Kirangari, we have opened the technical bid and most probably the block will be awarded this year," said Kulamani Biswal, director (finance) of NTPC.

Taken together, these blocks could contribute around 56mt of coal.

NTPC's annual coal requirement is around 170 million tonnes and the company is adding more thermal power generation capacity.

"Right now Coal India supplies on a regular basis. In case there is an emergency, we want to have a stock of coal," he said.

Coal stock across power plants in the country as of October 4 was around six days, according to the Central Electricity Authority reports, and as many as 23 power plants faced critical stock in the non-pithead category.

In the corresponding previous period, coal stock was at 17 days and no non-pithead plants had stock of less than seven days.

In order to address the coal stock situation, Coal India has asked the thermal power plants within 60 kilometres from the mines to use the road to transport coal, freeing up railway rakes for long distance transport.

The move will help Coal India effectively liquidate stocks of around 33 million tonnes accumulated as of middle of September.

NTPC has paid a total dividend of Rs 3,941 crore during 2016-17. This includes an interim dividend of 26.1 per cent, amounting to Rs 2,152 crore in February and a final dividend of 21.7 per cent amounting to Rs 1,789 crore on September 29, 2017.

The government's share in the total dividend during the year was Rs 2,630 crore.