Power Ministry Asks Imported Coal Based Plants to Run at Full Capacity from April 1, 2026

The Union Power Ministry has asked imported coal-based thermal power plants to operate at full capacity from April 1 to June 30, 2026, as per PTI report.  

The direction has been issued under Section 11 of the Electricity Act, which allows the government to mandate generation in specific situations. 

Letters have been sent to around 15 such plants across the country. The instruction is for maintaining supply during the summer months, when electricity demand typically rises. 

Demand Trend and Projections 

Peak power demand this summer is estimated to exceed 270 GW. This would be higher than the levels seen in recent years.  

In June 2025, peak demand stood at 242.77 GW, while projections for that year had indicated a possible peak of 277 GW. 

Demand has been moving upward over time. The highest recorded supply reached about 250 GW in May 2024, compared with 243.27 GW in September 2023.  

In February 2026, peak demand met was 243.15 GW, marginally above 238.06 GW recorded in February last year. 

Reason for the Directive 

The ministry’s communication cites the current demand-supply position and the expected rise in consumption in the coming months. The step is intended to avoid shortages and ensure availability of electricity across regions during periods of high usage. 

Imported coal-based plants are being relied upon as part of this arrangement, particularly during peak demand conditions. 

Mundra Plant Developments 

Earlier this month, Coastal Gujarat Power Ltd, a subsidiary of Tata Power, entered into a supplementary power purchase agreement with Gujarat Urja Vikas Nigam Ltd for its 4,000 MW Mundra plant in Kutch. 

The plant consists of 5 units of 800 MW each and supplies electricity to Gujarat, Maharashtra, Punjab, Haryana, and Rajasthan. Gujarat accounts for around half of the output. 

Operations at the plant had been suspended in July 2025, with the company reporting losses during the shutdown period. 

Read More: Cabinet Approves Modified UDAN Scheme with ₹28,840 Crore Outlay! 

Conclusion 

The latest order places imported coal-based plants within the summer supply plan, with fixed timelines and capacity requirements to meet expected demand levels. 

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