The Indian government has clarified that it does not currently have any plans to phase out old coal-based thermal power plants within the country. Minister of Power and New and Renewable Energy, R K Singh, revealed in a written response that the Central Electricity Authority recommended in January 2023 that no retirement or re-purposing of coal-based power stations should occur before 2030. This decision takes into consideration the projected energy demand and capacity availability.

Singh emphasized that thermal power plants have been advised to undergo Renovations & Modernisation (R&M) and Life Extension (LE) processes for operation until 2030 and beyond. This adaptation would aid the integration of solar and wind energy into the grid where feasible. The minister noted that power generation is a delicensed activity under the Electricity Act, 2003, allowing power-generating companies to decide on the phasing out or retirement of units based on their own technological, economic, and environmental considerations.

The minister further highlighted that many thermal power plants in India have already adopted super-critical/ultra super-critical technologies to enhance efficiency and reduce carbon emissions. Currently, the country operates 94 coal-based thermal units with a combined capacity of 65,150 MW using these advanced technologies.

In response to a separate question, Singh reported that electricity generated from coal-based power plants experienced a notable growth of 10% between the fiscal years 2021-22 and 2022-23. The total electricity generation from such plants increased from 1,041 billion units in 2021-22 to 1,145 billion units in 2022-23.

The government has also introduced strategic measures to reduce reliance on coal-based power sources and promote the integration of renewable energy. These include the implementation of renewable purchase obligations (RPO) and energy storage obligation (ESO) orders, outlining targets for renewable obligations and energy storage until the fiscal year 2029-30.