India’s coal-fired power capacity additions reached 4 gigawatts (GW) in 2024, matching the five-year high of 2023 and marking the highest level since 2019, according to official government data.
Coal accounts for more than 70% of India’s power generation. The country’s coal capacity additions this year have remained steady, in line with 2023 figures, as reported by Bloomberg, citing data from India’s Central Electricity Authority.
Looking ahead, India plans to add up to 90 GW of coal power capacity by 2032 to keep pace with rising electricity demand and ensure a reliable power supply. However, Bloomberg notes that this year’s 4 GW of new capacity may fall short of the country’s target to meet its 2032 goal.
As the world’s second-largest coal consumer and a major producer, India continues to rely heavily on domestic coal production to satisfy its growing energy needs. Despite significant growth in renewable energy capacity, coal remains the dominant source of power, particularly during peak demand periods, such as during severe heatwaves.
According to the International Energy Agency (IEA), India and China will remain key drivers of global coal demand in the coming years. The IEA projects global coal consumption to stabilize through 2027, but demand for the fossil fuel continues to rise.
The IEA’s latest report, Coal 2024, highlights a surge in global coal demand, with 2024 expected to set another record high. Coal demand grew by 2.6% last year, reaching an all-time peak. Initially, the IEA had forecasted stable coal demand for 2024, but it now expects demand to increase by 1% compared to 2023, reaching 8.77 billion tons—another historic milestone.
Related Topics: