Daijiworld Media Network - New Delhi
New Delhi, Aug 2: The share of coal in India's electricity generation mix fell to its lowest level in a year in July as renewable energy output touched a record high, highlighting the country's expanding clean energy capacity even as overall power demand remained robust.
Government data showed renewable energy accounted for 20 per cent of the country's electricity generation during the month, with renewable power production rising 30 per cent year-on-year to a record 36.25 billion kilowatt-hours (kWh).
According to Reuters' calculations based on daily Grid-India data, coal's share in the power generation mix declined to 65.7 per cent in July from 69 per cent in June.
The rise in renewable generation has been driven by rapid expansion in solar and wind capacity. Government data showed combined solar and wind power generation crossed the 100-gigawatt mark for the first time, supplying a record 42.8 per cent of India's electricity demand on July 13.
Analysts said the increasing contribution from solar energy is helping meet rising daytime electricity demand.
"Most of the peak power demand is happening during daytime where there is increased contribution from solar," Manoj Kumar, an analyst at the Centre for Research on Energy and Clean Air (CREA), said.
Despite the decline in coal's share of the overall power mix, electricity generation from coal-fired plants increased 12.8 per cent year-on-year to 119.40 billion kWh in July, supported by strong electricity demand and lower hydropower generation.
Analysts attributed the increase in coal-fired generation to weaker hydropower output and the impact of a strong El Niño pattern, which has resulted in above-normal temperatures and higher demand for cooling, particularly during night-time when solar power is unavailable.
Hydropower generation declined for the second consecutive month due to lower rainfall linked to El Niño, reducing water availability. As a result, hydro's share in the electricity generation mix fell to 22.1 per cent.
According to CREA, lower hydropower generation combined with rising electricity demand could create a power generation gap of nearly 18 billion kWh, potentially increasing reliance on coal-fired power plants in the coming months.