Mapping India's State-Level Energy Transition: Chhattisgarh

This report by the International Institute for Sustainable Development (IISD) analyzes the energy transition in Chhattisgarh, India, from FY 2020 to FY 2024. It quantifies government subsidies, public sector undertaking (PSU) investments, and energy-related revenues, highlighting the state's deep fiscal and economic reliance on coal and oil and gas (O&G). The report emphasizes the vulnerability of Chhattisgarh to the energy transition and recommends diversifying revenue sources, better targeting electricity subsidies, and accelerating the shift toward renewable energy to mitigate economic risks.

• In FY 2024, total quantified government support for Chhattisgarh's energy sector exceeded INR 16,672 crore (USD 2 billion), with subsidies for coal and oil and gas being four times higher than those for clean energy.
• Electricity transmission and distribution (T&D) subsidies represent the largest portion of energy support, accounting for 62% of total quantified subsidies in FY 2024 (approximately INR 7,795 crore), with 98% provided by the state government.
• Coal subsidies, primarily from the Union government, doubled between FY 2020 and FY 2024, making up 26% of all quantified energy subsidies in FY 2024 at INR 3,332 crore.
• Energy-related revenues in FY 2024 totaled INR 22,532 crore (USD 2.7 billion), representing 22% of the state's total revenue. Fossil fuels dominated these receipts, with O&G contributing 40% and coal contributing 38%.
• Chhattisgarh's renewable energy capacity remains low at approximately 1,760 MW as of May 31, 2025, despite a potential estimated by some studies to be as high as 41,000 MW for solar, 14,800 MW for wind, and 4,272 MW for biomass.
• The state's energy generation is heavily reliant on thermal power, which accounted for 92% of the total installed capacity of 17.4 GW as of March 31, 2023. The state-owned generation company, CSPGCL, operates an aging thermal fleet with an average age of 23 years.
• South Eastern Coalfields Limited (SECL) is the dominant coal producer in the state, accounting for 85% of total coal extraction in FY 2024. While SECL aims for net-zero by 2030 and plans 700 MW of solar by FY 2030, it had only commissioned 20.6 MW as of FY 2024.
• Electric vehicle (EV) support grew from INR 12 crore in FY 2020 to INR 193 crore in FY 2024. The state's EV policy targets at least 15% of all new vehicle registrations to be EVs by 2026.
• Chhattisgarh faces economic risks as other Indian states (such as Gujarat, Maharashtra, and Tamil Nadu) accelerate their own renewable energy transitions, potentially reducing their demand for coal and electricity from Chhattisgarh.

APA

International Institute for Sustainable Development (n.d.). Mapping India's State-Level Energy Transition: Chhattisgarh. https://www.iisd.org/system/files/2025-09/mapping-india-energy-transition-chhattisgarh.pdf

Chicago

International Institute for Sustainable Development. Mapping India's State-Level Energy Transition: Chhattisgarh. n.d. https://www.iisd.org/system/files/2025-09/mapping-india-energy-transition-chhattisgarh.pdf.

Wikipedia

{{cite report |author=International Institute for Sustainable Development |title=Mapping India's State-Level Energy Transition: Chhattisgarh |url=https://www.iisd.org/system/files/2025-09/mapping-india-energy-transition-chhattisgarh.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{internationalinstituteforsustainabledevelopmentndmapping, author = {{International Institute for Sustainable Development}}, title = {{Mapping India's State-Level Energy Transition: Chhattisgarh}}, institution = {International Institute for Sustainable Development}, url = {https://www.iisd.org/system/files/2025-09/mapping-india-energy-transition-chhattisgarh.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }