Coal fired thermal power capacity addition likely to remain subdued during FY20-FY21: India Ratings
The coal-based capacity addition in the Indian power sector, which fell to a low of 3.6 GW in FY19, is likely to remain subdued at 5GW-6GW per year in FY20 and FY21.
According to India Ratings and Research of the Fitch Group, This likely decline in thermal capacity addition is attributed to the decommissioning of nearly 2GW annually as the plants complete their useful life, due to the stress in nearly 85% of the private under-construction capacity, issues with regards to availability of funds, coal, power purchase agreements and evacuation and decline in fresh project starts across the Central, State and private sectors.
