India lead in new coal proposals in 2024, says Global Energy Monitor

India accounted for one-third of new global coal proposals in 2024, with 38.4 GW capacity — the highest since 2015 — according to the latest report by the Global Energy Monitor (GEM) released on Thursday. The 10th edition of the Boom and Bust Coal report said 10 countries are now responsible for 96 per cent of coal power capacity development, with China and India representing 87 per cent of it.

 

Approximately 60 per cent of the 38.4 GW of India’s new proposals are backed by state-owned entities (SOEs) using public funds. A coal proposal refers to any mining, processing, utilisation, or regulatory plans regarding coal, often including research, development, or policy changes within the coal sector.

 

 

These new coal proposals have increased India’s total pre-construction coal plant capacity by over 75 per cent from 2023, to 81.4 GW. The country's operating capacity also saw a slight increase, adding 5.8 GW of new coal-fired capacity while retiring 0.2 GW, resulting in a net increase of 5.6 GW — the highest growth in India’s coal fleet since 2019.

 

As the second-largest producer of coal after China, India depends on it to meet nearly 75 per cent of its electricity demand. For the first time, India produced 1.04 billion tonne of coal in FY25. Together, India and China accounted for 92 per cent of all newly proposed coal power capacity globally in 2024 (107 out of 116 GW).

 

“While coal power set records last year, they are not the types the industry would hope for. Last year signalled a shift for coal as the clean energy transition gains momentum. However, efforts are still needed to ensure coal power is phased out in line with the Paris climate agreement, especially in the wealthiest nations,” said Christine Shearer, project manager of GEM’s Global Coal Plant Tracker.

 

With nearly half of the top ten countries unlikely to see significant expansions in coal proposals in the coming years, the pipeline for new development will become increasingly concentrated, isolating China and India if they do not change their course, according to the report.

 

India aims to phase out coal imports by 2025–26 and reduce its reliance on coal for electricity generation. The country targets 50 per cent non-fossil fuel capacity by 2030 and net-zero emissions by 2070 under its climate commitments.

 

According to the report, new proposals outside of China and India totalled 8.8 GW in 2024, the lowest since 2015. Meanwhile, the total coal power capacity under development has decreased for the tenth consecutive year, dropping more than 80 per cent from 445 GW in 2015 to 80 GW in 2024.