India's Solar Expansion Stalls Coal Growth and Stabilizes Power-Sector Emissions

India's rapid deployment of renewable energy, primarily solar, has stopped the growth of coal output over the past two years despite a 7 percent rise in electricity demand. The country added enough renewables to power Switzerland, keeping power-sector emissions roughly flat since 2024. However, overall carbon dioxide emissions still increased in early 2026 due to coal use in steel and cement production.

The Centre for Research on Energy and Clean Air analysis indicates that India's coal generation has plateaued for two consecutive years, even as electricity consumption climbed roughly 7 percent. Solar capacity is expanding at approximately 40 percent annually, and the renewable additions over this period are comparable to the generating capacity of Switzerland, allowing demand growth to be met without additional coal burn.

Despite the stagnation in coal generation, India continues to commission new coal plants, which now operate at reduced utilization rates. The flatlining of power-sector emissions has not translated into an overall decline, as steel and cement manufacturing—both coal-intensive—drove a modest rise in national CO2 emissions during the first half of 2026.