Coal inventories were critically low at 84 of India’s 191 thermal power plants at the end of September, according to the Central Electricity Authority. Officials have pointed to rising electricity demand, while sector data also show pressure on fuel stocks.
The authority defines a critical stock level as less than one-quarter of the required norm or enough fuel for fewer than three days of generation. Coal and Mines Minister G. Kishan Reddy denied a nationwide shortage on September 28 and attributed the strain to higher demand.
The Hindu, citing CEA data, reported that Indian electricity demand rose about 10% in 2026, the largest annual increase in a decade. Peak demand reached a record 270.8 gigawatts on May 21.
Coal accounted for 79% of India’s electricity generation in the 2024–25 financial year, according to the Ministry of Statistics. Thermal plants have taken on a larger role as hydropower output fell. Reuters previously linked a September rise in power shortages to lower hydro generation and El Niño’s effect on monsoon rainfall.
Temperatures and cooling demand generally ease later in the year, which may reduce pressure on power plants. But seasonal demand relief does not by itself guarantee better coal supplies. Critically low stock figures describe plant readiness and do not alone indicate consumer outages.