Government of India Revised Target to Add 97 GW Coal and Lignite-Based Power Capacity by FY35.

National

In August 2025, Union Minister of State for Power, Shripad Yesso Naik, in a written reply in the Rajya Sabha (Upper House of Parliament), announced that the Government of India (GoI) has revised its target to add an additional 97 Giga Watt (GW) of coal and lignite-based power generation capacity by Financial Year 2034-35 (FY35), up from the earlier projection of 90 GW by FY32.


      - The revised target aims to achieve a total of 307 GW of coal and lignite-based thermal power installed capacity by FY35. This revision reflects GoI’s updated power demand projections and the need to balance energy security with clean energy expansion.

      - This coal capacity addition is aligned with India’s larger energy roadmap that seeks to achieve 500 GW of Renewable Energy (RE) capacity by 2030 and the Net Zero emissions target by 2070. Thermal power expansion will serve as a stabilizing source while RE capacity scales up.

      - Earlier, GoI projected that about 283 GW of coal and lignite-based capacity would be required by FY32. In November 2023, the Ministry of Power (MoP) proposed setting up a minimum of 80 GW of additional coal-based thermal capacity by FY32, which has now been revised to 97 GW by FY35.

Main Point :-   (i) As of June 2025, India’s total installed electricity generation capacity stands at 485 GW, comprising coal, lignite, hydro, gas, nuclear, and renewables. Thermal power still contributes the largest share, making it critical for India’s base-load demand fulfillment.

      (ii) According to the National Electricity Plan (NEP) 2023 (Generation), India’s total installed capacity is expected to reach 874 GW by FY32. This expansion includes both renewable and thermal energy, reflecting India’s “energy mix” strategy for sustainable growth.


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