Thermal Energy

Coal contributes to around 86% of the thermal power, and the rest is extracted from lignite, diesel, and gas. Growing demand, increasing industrial expansion, higher coal production, etc. have all contributed to the continued upsurge of the sector. The significant involvement of the private sector in India’s thermal power generation has necessitated financial viability, transparency, consistency, and predictability in regulatory approaches; better infrastructure; and adequate capacity building. However, entities functioning in the sector suffer from serious concerns, including fuel security, suppressed demand projections, project cost overrun, higher-end tariffs, and policy paralysis.