Coal shortage threatens to exacerbate energy, food inflation Nomura warns of ‘stagflationary shock,’ drop in factory output An already sweltering summer and acute coal shortages are triggering blackouts across parts of India, raising fears of a new power crisis that could roil Asia’s third-biggest economy. A surge in demand for electricity has prompted states including Punjab and Uttar Pradesh in the north and Andhra Pradesh in the south to cut off supply. The disruption, as long as eight hours in some places, is forcing customers to either endure the heat or look for costlier back-up options. Although outages aren’t uncommon in India, the situation this year particularly points to a “looming power crisis,” said Shailendra Dubey, chairman of All India Power Engineers Federation, an advocacy group. The blackouts sparked by the scarcity of coal — the fossil fuel that accounts for 70% of India’s electricity generation — are threatening […]