India's Energy Transition: The Cost of Meeting Air Pollution Standards in the Coal-fired Electricity Sector

The document estimates that installing SOx, NOx, and PM pollution-control technology in India's coal power plants will cost up to INR 86,135 crore (USD 12 billion), potentially increasing electricity tariffs by 9–21 per cent. It argues that the Ministry of Power must enforce strict compliance to ensure air pollution externalities are reflected in power prices and to prevent non-compliant plants from continuing operations without a phase-out plan.

• The total capital expenditure needed for SOx, NOx, and PM pollution-control technology is estimated at INR 86,135 crore (USD 12 billion), which drops to INR 73,176 crore (USD 10 billion) if plants scheduled for retirement by 2027 are omitted.
• Compliance costs are expected to increase the price of coal power by INR 0.32 to INR 0.72 per kWh, representing an approximate increase of 9–21 per cent in average tariffs.
• Despite 2015 legislation and a 2018 amendment regarding emissions of sulphur oxides, nitrogen oxides, particulate matter, and mercury, almost no coal plants had installed the required equipment by the original December 2017 deadline, leading to an extension until 2022.
• To ensure standards are met, the Ministry of Power should prohibit non-compliant plants from generating power unless they have a clear phase-out plan or have made material progress in construction and tendering.

APA

,, V. G. V. N. G. (2019). India's Energy Transition: The Cost of Meeting Air Pollution Standards in the Coal-fired Electricity Sector. International Institute for Sustainable Development. https://www.iisd.org/publications/indias-energy-transition-cost-meeting-air-pollution-standards

Chicago

,, Vibhuti Garg,Balasubramanian Viswanathan,Danwant Narayanaswamy,Karthik Ganesan. India's Energy Transition: The Cost of Meeting Air Pollution Standards in the Coal-fired Electricity Sector. International Institute for Sustainable Development, 2019. https://www.iisd.org/publications/indias-energy-transition-cost-meeting-air-pollution-standards.

Wikipedia

{{cite report |last1=, |first1=Vibhuti Garg,Balasubramanian Viswanathan,Danwant Narayanaswamy,Karthik Ganesan |title=India's Energy Transition: The Cost of Meeting Air Pollution Standards in the Coal-fired Electricity Sector |publisher=International Institute for Sustainable Development |date=5 August 2019 |url=https://www.iisd.org/publications/indias-energy-transition-cost-meeting-air-pollution-standards |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{2019indias, author = {,, Vibhuti Garg,Balasubramanian Viswanathan,Danwant Narayanaswamy,Karthik Ganesan}, title = {{India's Energy Transition: The Cost of Meeting Air Pollution Standards in the Coal-fired Electricity Sector}}, institution = {International Institute for Sustainable Development}, year = {2019}, month = aug, url = {https://www.iisd.org/publications/indias-energy-transition-cost-meeting-air-pollution-standards}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }