On December 27, 2024, the Indian government announced an extension of the operational mandate for imported coal-based power plants, allowing them to run at full capacity until February 28, 2025. This decision was communicated through a government circular.
Previously, in October, the government had invoked an emergency clause directing major companies, including Tata Power, Adani Power, and Vedanta, to operate their imported coal-fired plants until October 15, which was later extended to December 31.
India's imported coal-based power plants possess a combined annual capacity of approximately 16 gigawatts. Despite this, coal-fired power output in India had declined for two consecutive months as of September, attributed to slower electricity demand and a significant increase in solar energy generation.
Moreover, India's imports of thermal coal experienced a notable drop of 31.8% in October, marking the fastest contraction rate in fifteen months. However, overall coal-based power generation from April to September rose by 5% compared to the previous year, according to government data.