Wedoany.com Report-Apr. 3, Tata Power, a leading energy company in India, is set to expand its coal power capacity for the first time in six years. The expansion will occur at the Prayagraj Power Generation Co Ltd (PPGCL) plant in Uttar Pradesh, northern India, as outlined in a recent tender document. This step comes as the country’s clean energy sector faces project delays and reduced demand, prompting a focus on coal to meet electricity needs.
High-tension power lines are pictured outside a Tata Power sub station in the suburbs of Mumbai, India, August 8, 2017.
The PPGCL facility, currently generating 1,980 megawatts (MW), is managed by Renascent Power, an associate of Tata Power. The company has requested an environmental impact study to add 1,600 MW to the plant’s capacity. This marks Tata Power’s first coal power increase since acquiring PPGCL in 2019 through a joint venture. The move aligns with India’s plan to boost coal-fired capacity by 80 GW by 2031-32, raising the national total from 220 GW to address growing domestic demand.
India’s renewable energy sector, targeting 500 GW of non-fossil capacity by 2030, is encountering obstacles. These include low interest in clean energy tenders, challenges in acquiring land, delays in power sale agreements, and project cancellations. In 2024, India added nearly 28 GW of solar and wind capacity, but fossil fuels accounted for over two-thirds of the year’s increase in power generation. Unsigned clean power agreements have also exceeded 40 GW, highlighting the sector’s difficulties.
Tata Power’s coal power portfolio currently spans about 8.9 GW across six states. The company also plans to expand its clean energy capacity from 6.7 GW to over 20 GW by 2030, with a $9 billion investment. The tender document notes: “The proposed expansion at PPGCL responds to the need for reliable power amid delays in renewable projects.” This strategy reflects Tata Power’s effort to balance immediate energy requirements with future sustainability goals.
The PPGCL expansion emphasizes India’s continued dependence on coal to support rising energy consumption. It addresses current market conditions by ensuring a steady power supply while the renewable sector navigates its challenges. Tata Power’s initiative in Uttar Pradesh reinforces its role in shaping India’s energy framework, blending coal-based solutions with long-term clean energy ambitions.
