India suspends plans to build new coal-fired power plants for five years, focuses on renewable energy

The Indian government has stated in its updated energy policy that it will not consider building new coal-fired power plants in the next five years and will focus on developing the renewable energy sector.

The temporary pause in developing coal-fired power plants has been praised by experts as a significant step for India. Currently, the country generates about 75% of its electricity from coal-fired power plants.

India ranks sixth on the list of the world’s largest CO2 emitters. The government has set a goal of achieving net zero emissions by 2070.

Renewable energy instead of coal

Back in September 2022, Indian authorities stated that the country would need nearly 8,000 MW of installed coal-fired power capacity by 2027. According to the updated energy policy, these plans have been revised in favor of 8,600 MW of energy storage systems.

India plans to install 500 GW of renewables by 2030, which would provide enough energy to power 150 to 500 million homes. To achieve this goal, India needs to increase its efforts as it currently installs about 17 GW of renewables per year.

The Indian government has announced that it will closely monitor developments in global energy markets. A decision on a long-term energy strategy will be made after 2027, taking into account many external factors.