First time in 50 years, coal-fired electricity generation saw year-on-year decline in 2025, Pg16

Key Highlights:

• India's coal-fired electricity generation decreased by 3% in 2025, the first year-on-year decline in 50 years.
• Overall electricity generation in India increased by about 1% in 2025, despite the decline in coal-fired generation.
• Renewable energy generation increased by 22% and large hydro by 15% in 2025, contributing to the decline in coal usage.
• 41 GW of new renewable capacity was added in the first 11 months of 2025.

Detailed Insights:

• The decline in coal-fired electricity generation in 2025 was influenced by increased renewable energy generation, a milder summer, and decreased power demand growth.
• Despite the recent decline, the growth rate of coal-fired electricity generation has been slowing in recent years, with a 5% increase in 2024 compared to 15% in 2023.
• India's power sector emissions showed a dip in the first half of 2025, marking the first time emissions have declined for any half-yearly period.
• India may need to revise its plans for coal capacity additions for 2030, considering the rapid expansion in clean energy installed capacity.
• China, the world's largest greenhouse gas emitter, also experienced a 1.6% decrease in coal-based electricity generation in 2025, the first annual dip in 50 years.
• The power sectors of India and China drove 93% of the rise in global carbon dioxide emissions from 2015-2024.

Key Concepts Involved:

• Renewable Energy: Energy derived from natural processes that are replenished at a higher rate than they are consumed, such as solar, wind, and hydro.
• Greenhouse Gases: Gases that trap heat in the atmosphere and contribute to global warming, such as carbon dioxide.
• Electricity Generation: The process of producing electric power from other sources of energy.