India’s coal demand is growing—even as it pushes for solar power
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India’s Prime Minister, Narendra Modi, was in the midst of a month-long re-election campaign in April when he took to social media to announce “an amazing feat!” and his country’s “milestone”: surpassing 1 billion metric tons of coal and lignite production. It was a testament, Modi said, to “India’s commitment to ensuring a viable coal sector.”
A month later, for the third year in a row, his government ordered coal plants to operate at full capacity to meet the high demand for electricity during the hot summer months.
Although India has been increasing its renewable energy significantly in recent years, when demand for electricity increases, it still falls back on its most reliable source of energy: coal.
In the first six months of this year, India has responded to high energy demand from its growing population and large cooling needs due to extreme heat, partly due to climate change, by relying on its coal-fired plants. The country is also planning to add more coal plants.
India’s coal demand is set to rise by nearly 10% in 2023, or about 105 million metric tons, the largest percentage increase of any country, according to the International Energy Agency. Demand in China increased by 6%.
“We know that the Indian government is serious about its climate commitments,” said Carlos Fernández Alvarez, lead author of the IEA report. But he acknowledged the “great need to make sure people have electricity” in India, and added: “We don’t believe India will be the front runner in the transition to coal.”
More than 70% of India’s electricity needs are still met by coal although renewable energy sources such as wind and solar power are growing.
India last year became the most populous country in the world with 1.4 billion people. Electricity demand is expected to grow by at least 6% annually over the next few years, according to the IEA.
Why coal still dominates in India
India has millions of people living in poverty, but millions more are being lifted out of poverty as the country’s economy develops. And many of those will be able to afford some relief.
“Even if a person gets an air conditioner or an air conditioner to make his life more comfortable, he will see the need for more electricity,” said Charith Konda, an energy analyst at the Institute for Energy Economics and Financial Analysis. He said the 7% annual growth in demand is “the bare minimum” he expects.
As renewables grow, India needs to add more battery storage so that power can replace coal for nighttime needs, Konda said.
Electricity demand is not the only force that ensures the sustainability of coal in India. Kunda pointed to millions of jobs in coal, including allied sectors such as the railways that manage the trains used to transport coal. One indicator of coal burning: At the height of summer in 2022, the government canceled nearly 2,000 passenger trains so that coal-carrying trains could reach power stations faster.
What it takes to make clean energy a mainstay in India
India has increased its renewable energy capacity 25 times over the past decade, and now has installed 195 gigawatts of wind and solar power.
But it needs to grow faster still. Peak electricity demand reached an all-time high of 250 gigawatts in May, according to a report by the India Energy and Climate Center at the University of California, Berkeley. That demand could exceed 300 gigawatts in the next three years, according to the report, which will mean a shortage of electricity at night.
The country has set a clean energy target of 500 gigawatts by the end of this decade.
“In 2015-16, we saw several years of positive growth in renewable energy. From then on, it’s like a plateau,” said Ashish Fernandes of Climate Risk Horizons.
Fernandes and other experts say India needs to install at least 50 to 60 gigawatts of clean energy each year to meet growing demand. In the past two years, due to a mix of policy decisions, politics and supply chain issues, less than 15 gigawatts of wind and solar have been installed annually.
And storage should be integrated into the system, says Konda, the energy analyst. India has a little less than 4 gigawatts of storage. The government last year announced a 452 million dollar program to support companies that include some.
“Battery storage is very cheap and a growing sector globally,” said Fernandes, who said India needed to invest while prices were low.
The Indian government also said that developed countries should provide more support, including financial and technical support, to India and other South African countries working to transition to clean energy.
In Dipka, a coal town in central India where there are almost 100 mines, it is hard to imagine life without coal.
“In this district, everything is connected to coal,” said Ramadhar Yadav, 45, whose family was among the residents of the district who sold their fertile land to coal mining companies and are now among several hundred residents looking for jobs in the industry. in a legal dispute.
“At least in the next 20 years, our region and perhaps India as a whole will depend on coal, I am sure of that,” he said.
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-Sibi Arasu, Associated Press
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