India Has 39,545 MW Thermal Projects Under Construction

13 Feb 2026 CW Team

Studies indicate projected thermal capacity requirement by 2034–35 of approximately 307,000 megawatt (MW), compared with an installed capacity of 211,855 MW as of March 2023. To meet that requirement the power ministry has envisaged setting up an additional 97,000 MW of coal and lignite based thermal capacity. Contracts for 22,920 MW of projects have been awarded and are due for construction, while a further 24,020 MW of candidate capacity has been identified and is at various planning stages.

Thermal capacities totalling 17,360 MW have been commissioned since April 2023 up to 20 January, and the 39,545 MW currently under construction includes 4,845 MW of stressed thermal projects. The ministry noted that generation costs from coal based plants depend on factors such as plant life, distance from coal mines and type of technology, including sub-critical and super-critical systems. The all-India Weighted Average Rate of Sale of Power (WARSP) for electricity from existing coal based plants over the past three years ranged from Rs 4.36 per kWh to Rs 4.58 per kWh, with the lowest tariff at about Rs 1.52 per kWh.

The tariff discovered for new coal based projects selected through Tariff Based Competitive Bidding (TBCB) was in the range of Rs 5.38 to Rs 6.30 per kWh based on bidding carried out in 2025. Tariff outcomes under Firm and Dispatchable Renewable Energy (FDRE) tenders awarded by the Solar Energy Corporation of India (SECI) in August 2024 were in the range of Rs 4.98 to Rs 4.99 per kWh. The ministry set out these figures in the context of planning and procurement choices.

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India has 39,545 megawatt (MW) of thermal power projects currently under various stages of construction, the government informed Parliament. The Minister of State for Power, Shripad Naik, provided a written reply to the Rajya Sabha setting out project numbers, costs and plans. The disclosure formed part of an update on the nation’s thermal fleet and the ministry’s approach to meeting future demand for coal and lignite based generation. Studies indicate projected thermal capacity requirement by 2034–35 of approximately 307,000 megawatt (MW), compared with an installed capacity of 211,855 MW as of March 2023. To meet that requirement the power ministry has envisaged setting up an additional 97,000 MW of coal and lignite based thermal capacity. Contracts for 22,920 MW of projects have been awarded and are due for construction, while a further 24,020 MW of candidate capacity has been identified and is at various planning stages. Thermal capacities totalling 17,360 MW have been commissioned since April 2023 up to 20 January, and the 39,545 MW currently under construction includes 4,845 MW of stressed thermal projects. The ministry noted that generation costs from coal based plants depend on factors such as plant life, distance from coal mines and type of technology, including sub-critical and super-critical systems. The all-India Weighted Average Rate of Sale of Power (WARSP) for electricity from existing coal based plants over the past three years ranged from Rs 4.36 per kWh to Rs 4.58 per kWh, with the lowest tariff at about Rs 1.52 per kWh. The tariff discovered for new coal based projects selected through Tariff Based Competitive Bidding (TBCB) was in the range of Rs 5.38 to Rs 6.30 per kWh based on bidding carried out in 2025. Tariff outcomes under Firm and Dispatchable Renewable Energy (FDRE) tenders awarded by the Solar Energy Corporation of India (SECI) in August 2024 were in the range of Rs 4.98 to Rs 4.99 per kWh. The ministry set out these figures in the context of planning and procurement choices.

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