CAG Flags Coal India’s Slow Progress On Solar Targets

19 Dec 2025 CW Team

The Comptroller and Auditor General of India (CAG) has criticised state-run Coal India Ltd (CIL) for delays in executing its solar power mandate, noting that the company had installed only 122.49 MW of solar capacity by December 2024, representing just 4.08 per cent of its 3,000 MW target.

In its latest report, the government auditor said Coal India and its subsidiaries had fallen significantly short of the goal assigned by the Centre in 2017, under which CIL was expected to develop 3,000 MW of solar power capacity by 2024 as part of its transition towards becoming a Net Zero energy company. The CAG urged the coal major to fast-track project execution to meet its clean energy objectives.

The report noted that, as of December 2024, work orders had been issued for only 692.50 MW of ground-mounted solar projects and 34.56 MW of rooftop projects. These projects are now expected to be commissioned by 2027–28, following extensions to the original timelines.

To implement the renewable energy mandate, Coal India had entered into joint ventures with NTPC Ltd and NLC India Limited for the development of 1,000 MW of solar capacity each, in addition to signing a memorandum of understanding with Solar Energy Corporation of India Ltd. The company also set up a dedicated special purpose vehicle, CIL Navikarniya Urja Ltd, to execute solar projects on a fast-track basis.

Coal India accounts for more than 80 per cent of India’s domestic coal production. The CAG said the slow pace of solar capacity addition highlights the need for stronger execution and monitoring mechanisms to align the company’s operations with national clean energy and decarbonisation goals.

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