States gun for coal power in setback for renewables

Stability, assured fuel supply prompt discoms to seek costlier thermal power

- Rituraj Baruah & Utpal Bhaskar

ing Coal is tightening its grip as discoms flock to thermal power while cheaper green power waits for buyers, raising questions over India’s ability to meet its energy transition goals.

States such as Madhya Pradesh, Bihar, Assam and West Bengal have recently signed power purchase agreements (PPAs) for thermal power at tariffs as high as ₹6.64 a unit, even though solar and wind power come for ₹2.5-4. The key reason is the ‘infirm’ nature of renewable powerlack of generation when the sun doesn’t shine, and the wind doesn’t blow.