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Coal Freeze Marks India’s Clean-Energy Transition

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September 18, 2026

Prelims: Current events of national and international importance | Infrastructure | Energy

Why in News?

Recent CREA’s analysis for Carbon Brief showed India’s coal power recorded zero growth between H1 2024–H1 2026, the first such stagnation in over 50 years.

  • No Growth in Coal Power – This does not mean coal has been eliminated from India's electricity system.
  • Coal remains a major source of electricity.
  • India added approximately 8.5 GW of coal-fired capacity during this period.
  • Approximately 43 GW of coal capacity was under construction as of the end of June 2026.
  • The key change is that rising electricity demand was increasingly met by new non-fossil generation instead of additional coal generation.
  • As renewable energy use grows, coal plants may need to operate more flexibly and reduce output when renewable generation is high.

non fossil fuel energy source.

  • Solar Power as a Key Driver – It is now the leading source of new clean electricity generation.
  • Solar generation rose by 44 TWh from the first half of 2024 to the first half of 2026.
  • Solar capacity grew by approximately 77 GW over the same period.
  • Installed solar capacity reached 164.59 GW as of 31 July 2026, up from 2.8 GW in 2014.
  • Energy Storage – It is essential because renewable electricity is not always available during peak demand.
  • India's National Electricity Plan projects the following storage requirements:
    • The plan estimates a storage requirement of 82 GWh by 2026–27.
    • By 2031–32, the projected storage requirement increases to 411 GWh.
  • State-wise Transition – The clean-energy transition exhibits significant regional variation across India.
  • Gujarat
    • Gujarat experienced the largest increase in clean-power generation.
    • The state also recorded the largest decline in fossil-fuel generation during H1 2024 to H1 2026.
  • Rajasthan & Tamil Nadu
    • Both states reported major increases in clean energy generation.
    • They also recorded reductions in fossil-fuel generation.
  • Maharashtra & Telangana
    • These states recorded some of the largest increases in electricity demand.
    • Additional clean generation almost matched this demand growth.

Reference

MC | India's Clean-Energy Push

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