Renewables Surge to 190 GW as India Records First Drop in Coal Power Generation in Decades

Keyword: India renewable energy transition
Tags: #RenewableEnergy #CoalTransition #ClimateChange #IndiaEnergy #SolarPower #WindEnergy #CCPI2026 #ParisAgreement #EnergyPolicy #Decarbonisation

India’s clean energy transition reached a significant milestone in 2025, as installed renewable capacity crossed 190 GW and coal generation recorded a historic 3% decline—the first such drop in decades. While coal continues to dominate the power mix, renewable energy sources are increasingly mitigating warming by slashing emissions and stabilizing electricity supply during peak demand

The shift signals structural change in India’s power sector, though analysts caution that persistent coal expansion could delay peak emissions beyond Paris-aligned timelines.

Renewables Overtake Coal in New Additions

According to recent assessments, non-fossil sources accounted for more than 50% of new electricity capacity added in 2025. Solar and wind projects drove the expansion, helping reduce coal’s share in total installed capacity to around 47%.

Under the framework of the Paris Agreement, India has committed to expanding non-fossil fuel capacity and reducing emissions intensity. The current trajectory reflects progress toward these goals, though challenges remain in phasing down coal generation.

Renewables are now cost-competitive with thermal power in many regions. During peak summer heatwaves in 2025, solar generation surged at midday, cutting fossil fuel burn by an estimated 20–30% in several high-demand states. This not only reduced emissions but also helped moderate urban heat stress in energy-intensive corridors.

Climate Benefits: Emissions Avoided at Scale

Unlike coal-fired plants, which emit roughly 0.8–1 kg of CO₂ per kilowatt-hour, solar and wind power generate near-zero operational emissions. Analysts estimate that India’s current renewable fleet avoids between 200–250 million tonnes of CO₂ annually compared to equivalent coal-based generation.

This emissions avoidance is crucial given the long atmospheric lifespan of carbon dioxide, which can persist for centuries and lock in warming. By reducing incremental coal burn, renewables are slowing the rate of additional climate forcing—even if total emissions have yet to peak.

Coal’s Enduring Dominance and Warming Risks

Despite renewable gains, coal still fuels approximately 68–75% of India’s electricity generation through 2026 projections. Rising electricity demand—driven by industrial growth, urbanization, and cooling needs—has kept coal plants running at high load factors.

Planned additions, including a proposed 4.4 GW coal expansion in Rajasthan by 2036, risk counterbalancing renewable gains. Such investments could delay the power sector’s emissions peak beyond earlier expectations.

Coal combustion also contributes to local warming through particulate pollution and black carbon, amplifying heat stress in already vulnerable regions. Moreover, grid inflexibility has led to curtailment of renewable output, with reports of up to $75 million in losses from wasted solar power due to insufficient storage and transmission capacity.

2026 Net Impact: Progress, But Not Yet Paris-Aligned

While renewables edged ahead in new capacity additions, they accounted for roughly 25% of total electricity generation in 2026 due to intermittency and reliance on coal-based backup. As a result, India’s energy transition is slowing—but not yet reversing—the growth of power sector emissions.

The Climate Change Performance Index (CCPI) 2026 report ranked India 23rd globally, praising renewable expansion but criticizing continued coal reliance and slow storage deployment.

Economic assessments suggest that climate-related heat losses may shave 4–6% off GDP if warming intensifies, underscoring the urgency of deeper decarbonization.

The Way Forward: Storage, Flexibility, and Policy Reform

Experts argue that achieving a decisive emissions peak requires:

• Large-scale battery and pumped hydro storage deployment

• Grid modernization and flexible dispatch systems

• Accelerated coal phase-down timelines

• Stronger carbon pricing and policy incentives

India’s renewable surge demonstrates that decarbonization is technically and economically viable. However, without systemic reforms and a managed coal exit, warming will continue—albeit at a slower pace.

The transition is underway, but the climate clock demands faster alignment with global temperature goals.

 

Aspect	Renewables (190 GW)	Coal (Ongoing Expansion)
CO2 per kWh	<0.05 kg climateactiontracker​	0.8-1 kg climateactiontracker​
2025 Generation Change	+13% annually climateactiontracker​	-3% (first drop in 50+ yrs) energyandcleanair​
Heatwave Role	Peak supply, cuts blackouts carbonbrief​	Baseline but ramps emissions reuters​
Long-Term Warming	Caps rise at 1.2°C by 2050 downtoearth.org​	Risks 2°C+ breach energy.economictimes.indiatimes​

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