Why India’s New Coal Mines Won’t Solve its Power Crisis

Global Energy Monitor (GEM) finds that India's coal mining sector suffers from chronic underutilization, with 36% of approved capacity idled, making the 99 proposed coal mine projects (427 mtpa) unnecessary. The report highlights that existing capacity is sufficient to meet long-term demand and that new projects threaten to displace 165 villages, affect 87,630 families, and consume 168,041 kiloliters of water daily. Furthermore, these expansions risk creating stranded assets and carbon lock-in as India pursues a 2070 net-zero target and expands its solar power capacity.

• India's operating coal mines suffer from chronic underutilization, with 433 mtpa, or 36% of the 1,211 mtpa approved capacity, remaining idled and unused.
• The 99 proposed coal mine projects, adding 427 mtpa of capacity, are not required to meet long-term demand, as existing operating mines hold over 17 billion tonnes of coal reserves, sufficient to maintain supply into the 2040s.
• Coal India (CIL) and its subsidiaries do not identify capacity constraints as a reason for failing to meet production targets, instead citing land-use concerns, infrastructure impasses, and competition from renewables.
• Proposed coal mine expansions threaten to displace at least 165 villages and affect 87,630 families, including 41,508 families in PESA scheduled areas predominantly populated by tribal communities.
• New mining projects pose severe environmental risks, including the diversion of 19,297 hectares of forest land and an estimated daily water consumption of 168,041 kiloliters during a period of acute water stress.
• The concentration of new capacity is high, with 77% (329 mtpa) of planned capacity located in Jharkhand, Odisha, and Chhattisgarh; the Siarmal Open Cast mine in Odisha is the second largest proposed coal mine globally at 50 mtpa.
• The build-out of new mine infrastructure increases the risk of carbon lock-in and stranded assets, particularly as India targets net zero by 2070 and solar power becomes more cost-competitive than coal.

APA

Kapoor, M., Means, T., & Tate, R. D. (2022). Why India’s New Coal Mines Won’t Solve its Power Crisis. Global Energy Monitor. https://globalenergymonitor.org/sites/default/files/migration/reports/India-Coal-Mines-FINAL-Oct.-2022_11.pdf

Chicago

Kapoor, Medha, Tiffany Means, and Ryan Driskell Tate. Why India’s New Coal Mines Won’t Solve its Power Crisis. Global Energy Monitor, 2022. https://globalenergymonitor.org/sites/default/files/migration/reports/India-Coal-Mines-FINAL-Oct.-2022_11.pdf.

Wikipedia

{{cite report |last1=Kapoor |first1=Medha |last2=Means |first2=Tiffany |last3=Tate |first3=Ryan Driskell |title=Why India’s New Coal Mines Won’t Solve its Power Crisis |publisher=Global Energy Monitor |date=October 2022 |url=https://globalenergymonitor.org/sites/default/files/migration/reports/India-Coal-Mines-FINAL-Oct.-2022_11.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{kapoor2022why, author = {Kapoor, Medha and Means, Tiffany and Tate, Ryan Driskell}, title = {{Why India’s New Coal Mines Won’t Solve its Power Crisis}}, institution = {Global Energy Monitor}, year = {2022}, month = oct, url = {https://globalenergymonitor.org/sites/default/files/migration/reports/India-Coal-Mines-FINAL-Oct.-2022_11.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }