India's Power Sector
Coal: India's Workhorse Fuel
Why coal still generates most of India's electricity, the role of Coal India, and the tension between reliable supply and pollution.
Coal-fired plants generate roughly 70 percent of India’s electricity in many years.
Why coal dominates
- India has large coal reserves.
- Coal plants provide steady baseload power, day and night.
- Many plants are already built and paid for.
Coal India
The state-owned Coal India Limited produces most of the country’s coal. Private and captive mines have grown after auctions opened coal mining.
Problems
- Air pollution from plants near cities.
- Carbon emissions driving climate change.
- Water use for cooling.
- Transport: coal travels long distances by rail, with freight charges adding to power costs.
Coal shortages
In 2021 and 2022, rising demand and low stocks at plants caused power cuts in some states, showing how tight supply can be.
The future
India plans large renewable expansion but also keeps adding some coal capacity for reliability, especially for evening peaks when solar fades.
At 8 pm, solar panels produce nothing but homes switch on lights, fans and TVs. Coal plants ramp up to meet the demand.
Coal still supplies most power and provides reliability until storage and renewables grow.
- Coal generates roughly 70 percent of India's electricity.
- It provides steady baseload power from domestic reserves.
- Pollution, emissions and transport costs are problems.
- Coal remains important for reliability during the transition.
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