HOUSTON, July 14 (Reuters) - Coal supplies at U.S. power plants shrank 0.2 percent this week from last but remain 24.5 percent greater than the same week of 2008, Genscape said Tuesday.
The drawdown is below average for summer, when hot weather usually drives up air-conditioning demand, and stockpiles remain abnormally large due to recession-depressed power demand and the affordability of natural gas as an alternate generator fuel.
Electric companies had 176.5 million tons of coal stockpiled, compared with 176.8 million tons reported last Tuesday and 141.7 million tons the same week last year.
U.S. generators as of Tuesday had an average of 66 days' supply of coal, assuming typical burn rates. That equals last week's coal-burn capacity, the industry data provider said.
As of Tuesday, power plants had 13 more days' supply than the same week last year. That is one more day than last week's margin over 2008 stockpiles, Genscape said.
"Coal consumption in the power sector has been plumbing historical lows for July, and chances were the market would witness the unusual spectacle of a stock-build in the peak summer month," Genscape said.
"Gas is taking a big bite out of coal's market share despite the end of (coal-fired power plant) maintenance season," Genscape added.
U.S. coal stockpiles usually grow in the spring and fall, when mild weather eases cooling or heating demand. Stockpiles shrink as summer or winter sets in, boosting power consumption.
Mathematical rounding sometimes affects the results, overstating some changes and understating others, Genscape has said. (Reporting by Bruce Nichols; Editing by John Picinich)
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