India Signals No New Coal Capacity Beyond 2035 As Energy Strategy Evolves
A senior government official says India will maintain its coal capacity target through 2035 while focusing on balancing demand, grid stability, and clean energy expansion.
India has indicated that it has no immediate plans to add new coal-based power capacity beyond 2035, marking a significant signal about the direction of the country’s long-term energy strategy.
The clarification comes as the government maintains its broader objective of securing reliable and sufficient electricity supply while managing the rapid rise of renewable energy generation.
A top power ministry official said India aims to retain a coal-based capacity of around 307 gigawatts by 2035, aligning with earlier proposals that call for expanding coal output in the near term to meet anticipated demand.
Officials emphasized that it would be premature to outline plans for the period beyond 2035, as future decisions will depend on how fast electricity demand grows and how effectively clean energy is integrated into the power grid.
India has proposed increasing its coal capacity by nearly half from current levels even as it moves to double its non-fossil fuel capacity by 2030, underscoring a hybrid approach designed to meet rising consumption while accelerating the shift to green energy.
The country has faced grid management challenges this year due to fluctuating renewable power supply, at times curbing electricity output to maintain system stability.
Authorities say the next few years will be critical in determining whether additional coal-based capacity will be necessary, particularly as India evaluates the costs and technological readiness of large-scale battery storage systems that can absorb excess clean energy.
The official noted that decisions on post-2035 capacity additions would require a clearer understanding of long-term demand patterns, the pace of clean energy expansion, and the resilience of the electricity grid as renewable generation grows.
The country’s coal-fired generation, which accounts for roughly three-quarters of total electricity output, has seen a decline in several months this year due to moderate weather conditions that reduced cooling demand across major regions.
Even with the decline, utilities continue to seek long-term supply contracts with coal-based generators to secure evening and peak-hour demand, particularly as renewable energy remains variable during those periods.
India’s energy planners are positioning coal as a stabilizing force within a wider clean energy transition, ensuring reliability while renewable capacity and storage solutions continue to expand.
Experts say the approach reflects India’s need to balance economic growth, industrial expansion, and climate commitments while maintaining affordable electricity for a rapidly developing nation.
The government maintains that coal will continue to play a role in the medium term, but its prominence will gradually shift as renewable energy, grid modernization, and advanced storage systems scale up.
For now, industry stakeholders and policymakers will closely monitor demand trends and technological developments as India refines its long-term energy mix in the lead-up to 2035 and beyond.