India's planned coal capacity nearly doubles, driving global pipeline growth

India's planned coal mining capacity nearly doubled in 2025, accounting for almost all of the growth in the global project pipeline, according to data from energy research group Global Energy Monitor.

The country's proposed capacity rose to 638 million metric tons per annum (mtpa) from 329 mtpa a year earlier. Globally, the coal project pipeline expanded 11% to 2,521 mtpa, with India contributing the bulk of that increase.

The expansion reflects New Delhi's push to raise domestic coal output to meet surging electricity demand, even as renewable energy capacity grows rapidly. Most of the new proposed capacity is concentrated in the eastern states of Jharkhand and Odisha.

The government has set a production target of nearly 1.15 billion metric tons for fiscal 2025/26, with plans to reach 1.5 billion tons by 2030.

The increase comes despite forecasts from the International Energy Agency that global coal demand will plateau by 2030. Wind and solar overtook coal in the global electricity mix for the first time in 2025, the report noted.

However, the rapid build-up in planned capacity could leave producers exposed if coal demand weakens faster than expected, the report warned.

Meanwhile, new capacity additions fell nearly 40% in 2025 to 113 mtpa, driven by declines in China and Australia.