India Plans to Reduce Coal-Fired Generation, and Mine More Coal
31 May 2022
India’s Power
Ministry, despite the country facing shortages of electricity in recent years
and as recently as the past month, said it plans to reduce the amount of power
generation from at least 81 of the country’s 173 coal-fired power plants over
the next four years.
The agency, in a
letter dated May 26 that was sent to top federal government, state, and energy
department officials, said the country needs to support renewable resources to
maximize cleaner power generation and reduce energy costs. The agency, though,
said the plan does not include closing older coal-fired power plants.
“The thermal power
plants in [the] future shall operate up to the technical minimum to accommodate
cheaper renewable energy when it is available,” the ministry said in the
letter. The International Energy Agency has said India, with a population of
about 1.4 billion, is expected to see its demand for electricity more than
double by 2030. Much of that demand comes as more and more homes and offices install
air conditioning.
The ministry also
sent a letter to all utilities in India, saying Coal India—the country’s
state-owned mining company—“would import coal for blending on
government-to-government (G2G) basis and supply … to thermal power plants of state
generators and independent power producers (IPPs).” It would mark the first
time Coal India has imported coal since 2015.
That move comes as
the country’s Coal Ministry issued a call to reopen some of India’s older mines
in an effort to increase domestic production of coal.