The draft, if approved by the federal cabinet chaired by Prime Minister Narendra Modi, would make China the only major economy open to fresh requests to add significant new coal-fired capacity.
“After months of deliberations, we have arrived at a conclusion that we would not need new coal additions apart from the ones already in pipeline,” one of three government sources said.
The new policy, if approved, would not impact the 28.2 GW of coal-based power in various stages of construction, the sources said.
India, whose proposed coal power capacity is the highest after China, had repeatedly refused to set a timeline to phase out coal, citing low per-capita emissions, surging renewable energy capacity and demand for inexpensive fuel sources.
The draft, India’s first attempt at revising its electricity policy enacted in 2005, also proposes delaying the retirement of old coal-fired plants until energy storage for renewable power becomes financially viable, the sources said.
In the first draft of the NEP in 2021, India had said it may add new coal-fired capacity, though it proposed tighter technology standards to reduce pollution.
However, the final draft, which will guide India’s policymaking on energy over the next decade, features no references to new coal-fired power, the sources said.
China plans to build some 100 new coal-fired power plants to back up wind and solar capacity, which analysts said goes against Beijing’s stated intention to reduce the role of coal.
The policy revision could also impact long-term coal prices and miners in Indonesia, Australia and South Africa, as India is the world’s second-largest coal importer.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)



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