Coal stocks critically low as power demand rises in India
India is facing a critical shortage of coal stocks at thermal power plants despite government denials, driven by a record 10% surge in power demand. The situation is exacerbated by declining hydropower generation linked to El Nino-related weather patterns.
Why it matters
The energy crisis highlights India's heavy reliance on coal and its vulnerability to climate-driven disruptions in power generation.
On September 28, Union Coal and Mines Minister G. Kishan Reddy on Monday denied any shortage of coal in the country, despite data showing that more than 44% of India’s thermal power plants had critically low stocks. Mr. Reddy said the problem was not a coal shortage but a surge in power demand.
According to the Central Electricity Authority (CEA), data as of September 30 show that among the 191 thermal power plants, 84 plants were critically low on stock. The CEA considers a power plant to be critical when inventories fall below 25% of the required normative stock or when the stock can support power generation for less than three days.
While data contradict Mr. Reddy’s claim, he is right about the increase in demand. India saw an increase of 10% in power demand in 2026 — the highest year-on-year increase in the past decade.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in