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17th July 2025 (14 Topics)

India Reaches 50% Non-Fossil Fuel Power Capacity

Context:

India has achieved 50% of its installed electricity capacity from non-fossil fuel sources—five years ahead of its Nationally Determined Contributions (NDCs) target under the Paris Agreement.

Installed Capacity vs Actual Generation:

  • As of June 30, 2025, non-fossil fuel sources comprise 50% of India's total installed electricity capacity (~484 GW).
  • However, actual electricity generated from clean sources remains under 30%, owing to lower capacity utilisation factors (CUFs).

Components of Non-Fossil Fuel Sources:

  • Include solar, wind, biomass, hydropower (small and large), and nuclear power.
  • Solar CUF: ~20%, Wind CUF: ~25–30%, Coal CUF: ~60%, Nuclear CUF: ~80%.

Grid Limitations & Storage Challenges:

  • Clean energy utilisation is hampered by lack of grid flexibility and inadequate battery storage.
  • Power from coal still meets ~75% of base load demand, especially during non-solar hours (evenings).

Policy Solutions & Way Forward:

  • Adoption of hybrid renewable energy systems (solar + wind + hydro + battery storage).
  • Introduction of time-differentiated tariffs and smart grid technology to enhance clean energy integration.

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