Thermal Power Will Remain Crucial for Base Load Management Amid RE Capacity Growth

Ind-Ra Maintains Stable Outlook for Solar and Wind Power Projects

- OUR CORRESPONDENT

NEW DELHI: Coal-based power will remain critical for base load management in the medium term, though renewable capacity additions remain strong, India Ratings and Research (Ind-Ra) said on Wednesday.

Furthermore, thermal capacity additions are expected to pick up pace in FY26, considering the capacity under construction and demand expectation by FY32, Ind-Ra experts said in a webinar.

"We expect thermal power to remain critical for base load management in the medium term, though renewable capacity additions remain strong. Land acquisition, connectivity and adequate evacuation/transmission infrastructure remain key monitorables for the sector. The consistent functioning of the Late Payment Surcharge Rules 2022 supports the counterparty risk, even among entities selling directly to discoms," Vishal Kotecha, Director & Head - Infrastructure & Project Finance, Ind-Ra said.