India plans to reduce power generation from at least 81 coal-fired utilities over the next four years, the federal power ministry said in a letter on May 30, in an effort to replace expensive thermal generation with cheaper green energy sources.
With this development, India will be one step closer to its goal of generating 500 GW of non-fossil fuel energy by 2030. Analysts, however, have called this goal ambitious and believe that India will have to take even bolder steps to meet its clean energy objectives.
This letter comes at a time when the country is struggling with a coal shortage, which pushed it into a power crisis in April, less than a year after it emerged from a similar crisis in October 2021.Because of the war between Russia and Ukraine, coal prices have risen globally, which has led to a heavier reliance on domestic coal production in India. As of May 26, power plants had coal stockpiles sufficient to burn for over eight days.