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Centre Planning to Boost Coal Power for Additional 12 Years

Written by: Team Angel OneUpdated on: 6 Dec 2025, 5:58 pm IST
India is weighing a plan to extend new coal power projects until 2047, revising earlier timelines and reassessing long-term capacity needs.
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India is considering keeping new coal power projects open for approval until 2047, extending the previous cut-off by around 12 years. The idea is being discussed within the power ministry and NITI Aayog, according to the news reports. 

Longer Horizon than Projections 

Current planning documents suggest coal capacity additions would taper off by 2035. The new proposal revisits that timeline and explores whether further units may be required to meet rising demand. 

Capacity Outlook and Coal Reserves 

Initial estimates under review show coal-based capacity potentially reaching 420 GW by 2047, up from today’s level by about 87%.  

India’s coal reserves, assessed to last close to 100 years, remain a key part of supply planning, especially for steady, round-the-clock power. 

Link to Economic Plans 

The reassessment is taking place alongside the government’s target of marking India’s shift to a developed economy by 2047.  

Reliable electricity supply forms part of that objective, with coal seen as a domestic resource that can be deployed at scale while other technologies expand. 

Pressure Points around Supply Chains 

Plans for higher renewable and storage capacity continue but come with concerns flagged by officials.  

A major portion of global production for solar modules and battery components is based in China, a country with which India shares a tense border. This concentration has been cited as a potential weakness for future supply security. 

Read More: Adani, Hindalco Exploring Investments in Peru Copper Assets as Demand Rises! 

Conclusion 

If cleared, the proposal would extend coal capacity additions to 2047, creating a longer role for coal in India’s power system than earlier planning timelines suggested. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   

Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Dec 6, 2025, 12:25 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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