India targets reduction in coal imports, boost domestic production

Coal imports stood at 176 million tonnes in 2023

June 13, 2024

Imports are expected to drop to 160 million tonnes in 2024

India focuses on coal to meet rising power demands

Government balances coal use with green energy transition for 2070 net zero goals

New coal power plants are planned and are expected to be operational in four years

According to federal coal minister G. Kishan Reddy, India plans to reduce coal imports and boost domestic production. In 2023, India imported 176 million tonnes of thermal coal, making it the world’s second-largest coal consumer. 

Reddy emphasised the country’s increasing reliance on coal to meet surging power demands, anticipating the fastest power generation growth since 2011/12. Despite pressure from affluent nations to curb coal usage, Prime Minister Narendra Modi’s administration focuses on a green energy transition to achieve its 2070 net zero emission goals. However, the government continues to support coal use, slowing the expansion of coal-based power capacity in favour of renewable energy sources.

India is also planning to establish new coal power plants, with power generation expected to commence in four years, balancing immediate energy needs with long-term sustainability goals.

Source: Economic Times

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