India’s power sector, which is highly dependent on low-quality coal has been a huge contributor to the country’s GHG emissions. These power plants are not only inefficient but also operate at lower plant load factors (PLF). These power plants are located mostly in cities and are another cause of rising air pollution in urban centers. Solar has reached grid parity in many places and it now makes complete economic sense to go solar and new coal investments pose a challenge from both a financial as well as sustainable point of view. This has resulted in many coal power projects being scrapped and becoming unviable.

Other than these challenges, coal also uses ample freshwater for cooling. So, not only is it polluting and unprofitable but also water-intensive. India is already grappling with issues related to water and coal plants located in drought-prone regions further heighten this issue. With India’s rising population and demand for resources, these concerns are expected to multiply in the near future. With renewable energy prices running near record lows and India’s focus on sustainability and climate change goals, how long will thermal power assets survive? Will these be built in the future? I think no coal or fossil fuel-dependent power plants will be built in the future. Also, read Why India’s Coal Sector Continues to Resist the Green Energy Transition

India is making good progress on its renewable energy commitments. Technology advancements, falling costs, and government support would go a long way to establish a decent energy mix that will be cleaner and greener in the future. Solar is the way forward for India. Abrupt changes in weather conditions and abnormal climate in parts of India have also created a renewed focus. It is important for India to align its renewable target keeping in mind its social and economic agenda.