India's clean energy boom halts coal power growth

India has experienced its first period of flat coal power generation in over 50 years. According to an analysis by the Centre for Research on Energy and Clean Air (CREA) for Carbon Brief, coal power generation did not grow between the first half of 2024 and the first half of 2026, despite an overall increase in electricity demand.

This stagnation in coal growth coincided with a record increase in non-fossil power generation. However, coal remains a fundamental component of India’s energy landscape, accounting for approximately two-thirds of total power output. As of June 2026, 43 gigawatts of coal-power capacity were under construction.

Despite the renewable energy surge, India continues to invest in fossil fuels, including new coal-power capacity and domestic coking coal production for the steel sector. Officials from the government policy think tank NITI Aayog noted that coal will remain a key part of the power system for the next two decades to ensure stability and avoid blackouts during severe heat waves.