September 3, 2020 Read More →

Even as renewables rise, India battles coal import addiction

The Hindu:

Companies are gearing up to embrace renewable energy. But with imports and mine auctions still in swing, the shift will face issues.

India has traditionally considered itself lucky to have been endowed with abundant coal reserves, which it has sought to use to meet its energy needs through large coal-fired power plants. Even as this is considered an ongoing story by official agencies, the power plants are making a momentous shift.

The impetus for change has come not from within India but outside. Global financiers and multilateral agencies are under increasing pressure from stakeholders to shun fossil fuels and embrace clean energy, and have been refashioning their investment policies. Since money talks like nothing else does, Indian energy producers are rapidly changing track and falling in line. Tata Power has stated this explicitly. Foreign lenders are refusing to fund thermal capacities even as they make available large funds for renewable energy.

The way ground realities are changing has made the Institute for Energy Economics and Financial Analysis (IEEFA) ask dramatically whether there will be anyone around to still fund a new coal power plant in India. This is because renewable energy is both cheaper and cleaner. 

[Subir Roy]

More: India Won’t Kick Its Coal Habit So Easily

Posted in: IEEFA In the News

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