NTPC approves coal power projects worth $9.5 Billion

6 Nov 2024 , 09:38 AM

NTPC Ltd., India’s largest power producer, announced the approval of coal-fired production projects totalling ₹797.4 Billion ($9.5 Billion), supporting the government’s attempts to increase capacity to meet rising demand.

According to separate comments released on Tuesday, the most recent investment clearance is for 6.4 gigawatts of generation capacity distributed over three regions where the state-run firm already operates power plants. NTPC did not provide commissioning timelines for the projects.

In recent months, Prime Minister Narendra Modi’s government has increased its reliance on coal, putting energy security ahead of environmental and climate concerns. A expanding economy and lengthier heat waves have resulted in an increase in energy demand, with coal accounting for approximately three-quarters of it.

According to Tuesday’s comments, NTPC would build 2.4 gigawatt projects in Nabinagar in India’s east and Telangana in the south, as well as a 1.6 gigawatt project in Gadarwara in the central Indian state of Madhya Pradesh.

NTPC, along with its units and joint ventures, has an installed capacity of 76.4 gigawatts, over 90% of which is powered by fossil fuels. By 2032, the corporation hopes to reduce that percentage to roughly half, with the remainder coming from renewable sources.

The world’s third-largest greenhouse gas emitter has built solar and wind power projects at a record rate in recent years, and it has set an ambitious goal of more than doubling its renewable power capacity to 500 gigawatts in 2030. Nonetheless, coal is anticipated to remain a major component of the power mix for at least another decade.

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