What Caused India’s Historic Drop in Coal Generation Despite Rising Demand?

India’s reliance on coal for power dropped significantly last year because a massive surge in wind and solar energy combined with a rainy season that boosted hydropower. This transition was made possible because unusually mild weather meant people needed less electricity for cooling, keeping overall demand growth low, according to the authors of the newly released report. The report notes that “India’s coal generation declined by 44 TWh (-2.9%) in 2025 as a result of the surge in renewables and lower-than-average demand growth.” It further states that “Mild weather conditions substantially reduced the need for electricity for cooling and heating,” which helped avoid “an estimated 32 TWh of electricity demand compared to 2024.” Essentially, India experienced a unique combination of favorable weather and a record-breaking build-out of green energy. Because the summer was not as hot as the previous year, residents did not use air conditioning as frequently, which slowed the growth of the country’s total power needs. This allowed the newly installed solar panels and wind turbines to not only meet the new demand but also start cutting into the share of electricity traditionally provided by coal plants. The report “Global Electricity Review 2026” was published by the energy think tank Ember on April 21, 2026. Prepared by a team of researchers led by Nicolas Fulghum, the study offers a comprehensive overview of how clean energy met all global electricity demand growth over the past year.

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