Govt Aims To Reduce Power Output From 81 Coal-Fired Plants Over 4 Years

India is the world's second-largest consumer, producer, and importer of coal, and the fuel accounts for nearly 75 per cent of annual electricity generation

New Delhi: In an effort to replace expensive thermal generation with cheaper green energy sources, the Union Power Ministry in a letter has said that the government plans to reduce power generation from least 81 coal-fired utilities over the next four years.

The letter sent to top energy department officials of state and central government said the plan aims to maximise green energy potential and save costs, according to a report by Reuters. Currently, the country has 173 coal-fired plants.

The ministry said in the letter dated May 26, “The thermal power plants in future shall operate up to the technical minimum to accommodate cheaper renewable energy when it is available.”

In April, the country faced a crippling power crisis, when a rapid surge in power demand lead to a scramble for coal, forcing the country to roll back plans to cut thermal coal imports to zero.

A surge in peak power consumption during the night when solar power is not available has made phasing out coal-fired generation a big challenge. The addition of alternative sources such as nuclear and hydro power have also been slow.

According to the report, India is the world's second-largest consumer, producer, and importer of coal, and the fuel accounts for nearly 75 per cent of annual electricity generation. India, the world’s third-largest greenhouse gas emitter, is currently 37 per cent short of its end-2022 green energy target.

Think tank from Climate Risk Horizons said in a report in May that India’s current power crisis could have been averted if its target to install 175 Gw in renewable energy had been on track,

"The additional generation from solar and wind... would have allowed power plants to conserve their dwindling coal stocks for evening peak periods," Climate Risk Horizons said.

The power ministry's plan to reduce coal-fired generation when renewable sources are available could also ease pressure on logistics. The power crisis has been made worse by a shortage of trains to transport coal.

The government expects the plan to reduce power generation by 58 billion kilowatt hours (kWh) from the 81 utilities to save 34.7 million tonnes of coal and cut carbon emissions by 60.2 million tonnes, the letter said.