India Sees Surge In New Coal Capacity Proposals Despite Renewables Push

New Delhi, Apr 11 (KNN) Despite India's ambitious plans to ramp up renewable energy capacity, the country witnessed a significant surge in new coal power capacity proposals in 2023, according to a report by Global Energy Monitor (GEM).

The report highlights that India introduced 11.4 gigawatts (GW) of entirely new coal proposals last year, marking the highest level since 2016.

The surge in coal power proposals comes as a surprise, given the promising signs of India beginning to phase down its coal power dependence in 2022.

However, the lack of retirement planning for aging coal plants, coupled with new capacity additions and proposals in 2023, suggests that India's reliance on coal power is unlikely to diminish anytime soon, stated GEM.

Coal currently accounts for about three-quarters of India's power generation, and its demand is expected to rise further.

The country's peak power demand hit a record 240 GW in 2023, surpassing the government's projection of 230 GW, and is anticipated to reach 256.5-260 GW in 2024-25. By 2030, India's power demand is likely to soar to 350-400 GW.

In 2023, India commissioned 5.5 GW of new coal capacity, more than double the capacity commissioned in 2022 (2.0 GW). Additionally, the year saw a surge in the granting of permits and pre-permit approvals for coal projects, as well as the revival of long-stalled projects.

Environmental clearances were granted to 10 coal-fired units across six power stations, totalling 7.3 GW of newly permitted coal capacity.

Furthermore, an even greater capacity of coal plant proposals, amounting to 15.2 GW across 12 different plants, received terms of reference (ToR) in 2023, indicating their progress through the permitting process.

(KNN Bureau)