India boosts renewable push amid gas supply disruptions, minister says
Reuters March 30, 2026 07:19 PM
Synopsis

India is fast-tracking wind and battery storage projects due to a gas shortfall stemming from the Middle East crisis. While gas is a small part of its energy mix, it's crucial for peak demand. The nation is also boosting coal and hydro power, with a large imported-coal plant directed to run at full capacity this summer to ensure adequate supply.

NEW DELHI: India is accelerating clearances for commissioning of wind power plants and battery energy storage systems as the U.S.-Israeli war against Iran has led to a gas shortfall, the country's junior power minister said on Monday.

Although gas accounts ‌for only ⁠around ⁠2% of India's total power generation, the South Asian country uses about 8 gigawatt (GW) of gas power during peak-demand periods or heatwaves.

"Presently, there are challenges in respect of availability and price volatility of natural gas due to the Middle East crisis. However, the generators are exploring alternate sources," junior ⁠power minister ‌Shripad Naik said in the country's parliament.


The country is also closely monitoring the progress of coal ⁠and hydro plants, which are under construction, targeted to be commissioned by June 2026, he said.

The system is adequately positioned to meet summer demand, compensating for reduced gas-based generation, Naik said.

The South Asian nation has already directed Tata Power's 4-gigawatt imported-coal plant in the western state of Gujarat to run at full ‌capacity from April 1 to June 30.

Reuters had earlier reported that India will likely lean more on its coal capacity to ⁠meet peak power demand this summer and has asked its coal plants to run at maximum capacity and avoid planned outages.

India relies on coal power for nearly 75% of its power generation.

India has also encouraged its industries to produce their own power through their captive generation plants, the minister said, a move that could reduce industrial power consumption.
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