Archive · 28 Jul 2025
Private Sector to Invest Heavily in Thermal Power by FY28
Big companies that make electricity are planning to spend a lot of money to build more power plants that use coal.
They will invest ₹77,000 crore in the next few years.
This is because the government wants to make a lot more electricity by 2032.
Private companies are now making a bigger part of these investments.
They've also signed deals to sell electricity to the government for a long time.
One company, Vedanta, is also planning to build a new power plant to increase its production.
This should help the companies earn a good return on their investments.
Private sector to invest ₹77,000 crore in thermal power by FY28.
Overall thermal power investments expected to double to ₹2.3 lakh crore in three years.
Private companies will account for nearly a third of these investments.
Four state firms signed 25-year power purchase agreements with private producers.
Government plans 80 GW of new thermal coal-based capacity by 2032.
- Who
- Private sector companies, including Adani Power, Tata Power, JSW Energy, Vedanta Power and government.
- What
- Private sector to invest ₹77,000 crore in thermal power.
- When
- Over the next three fiscal years (FY26-FY28) and the government plans 80 GW of new capacity by 2032.
- Where
- India
- Why
- To meet the increasing power demand expected to surge over 366 GW by 2031–32.
Proponents
Critics
Energy Sources
Proponents
Investment will contribute to meeting India's growing energy demands.
Critics
The plans for massive investment in thermal coal-based power projects contradict the net-zero emissions targets.
- Investment (Private Sector)
- ₹77,000 crore (FY26-FY28)
- Total Thermal Power Investment
- ₹2.3 lakh crore (next three years)
- Private Sector Share
- Nearly a third of total investments
- New Capacity Target
- 80 GW by 2032
- Vedanta Expansion
- 15 GW