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Home News Power & Energy India Orders 112 Captive Coal Plants to Full Capacity Amid Power Demand Rise
India Orders 112 Captive Coal Plants to Full Capacity Amid Power Demand Rise
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India Orders 112 Captive Coal Plants to Full Capacity Amid Power Demand Rise

Projects India Research Desk 30 September 2026 5 min read 915 words 11 views
India has directed 112 captive coal-based power plants to operate at full capacity in response to rising electricity demand. Projects India tracks 2,434 captive power projects nationally, with 278 currently under construction.

Government Directive: 112 Captive Coal Plants Ordered to Full Output

India has directed 112 captive coal-based power plants to operate at full capacity in response to rising electricity demand, CNBC TV18 reported on 26 September 2026. No further breakdown of the directive — including the total generation capacity involved, the issuing authority, or the timeline for compliance — was available from the single outlet that carried the report.

The order targets captive plants, which are generation facilities built and operated by industrial consumers for their own use, rather than for sale to the grid as a primary purpose. A directive of this nature signals that grid stress is drawing on every available source of generation, including capacity that industry has developed independently.

Scale of India's Captive Power Pipeline

The directive arrives against a backdrop of substantial project activity across the captive power sub-sector. Projects India tracks 2,434 captive power projects nationally, of which 20 were added to the database in the last 90 days.

By development stage, the pipeline breaks down as follows:

The 278 projects in active construction and the 155 that have received approvals and are preparing to move forward represent the nearest-term opportunity for equipment suppliers, civil contractors and balance-of-plant vendors.

Where Captive Power Projects Are Concentrated

Project activity is not evenly distributed across India. Maharashtra leads with 405 tracked projects, followed by Karnataka (301), Chhattisgarh (300), Uttar Pradesh (200), Andhra Pradesh (153) and Odisha (144). Together these six states account for a substantial share of the national captive power pipeline.

Chhattisgarh's position — third nationally — reflects the state's heavy industrial base in steel and sponge iron, sectors that have long relied on captive generation. Maharashtra and Karnataka similarly host large concentrations of energy-intensive manufacturing that underpins demand for on-site power capacity.

Recently Tracked Projects in the Sub-Sector

Among the captive power projects currently in the Projects India database, several are at or approaching construction stage, ranging from sugar mill co-generation to industrial power for steel and cement producers. A selection of recently tracked projects is shown below.

ProjectPromoterLocationValueStage
Captive Power Plant — ExpansionShri Bajrang Power Private LimitedRaipur, ChhattisgarhNot recordedConstruction Started
Captive Power Plant UnitK2 Group of IndustriesJhajjar, HaryanaRs 360.13 croreConstruction Started
Captive Power PlantThe Shyam Sel & Power LimitedPaschim Barddhaman, West BengalRs 1,661 croreConstruction Started
Captive Power Plant — NewStar Cement North East LimitedJaisalmer, RajasthanRs 3,000 croreUnder Approvals
Captive Power Plant — NewStar Cement North East LimitedBeawar, RajasthanRs 3,650 croreUnder Approvals
Captive Power PlantInamdar Sugars LimitedBelgaum, KarnatakaRs 672 croreUnder Approvals
Captive Power Plant — ExpansionTrident LimitedBarnala, PunjabRs 440 croreUnder Approvals
Captive Power Plant — ExpansionAssago Industries Private LimitedEast Godavari, Andhra PradeshRs 270 croreUnder Approvals

What this means for suppliers and contractors

The government directive to maximise output from existing captive coal plants has two distinct implications for the supply chain. In the near term, plants being pushed to full capacity will require operations and maintenance support, fuel-handling upgrades and, in some cases, refurbishment of equipment that has not run at peak load for extended periods. Vendors with service and spares capabilities in coal-handling, boiler maintenance and turbine support are positioned to respond quickly.

Over a longer horizon, the directive underlines that industrial consumers face persistent pressure on power availability and cost, which historically has accelerated decisions to invest in new or expanded captive capacity. The 1,045 projects currently under approvals represent a pipeline of potential future construction contracts. Suppliers tracking that approvals-stage pool — particularly in Maharashtra, Karnataka, Chhattisgarh and Uttar Pradesh — will be best placed to engage promoters before engineering and procurement decisions are finalised.

Projects such as the Rs 3,650 crore facility being developed by Star Cement North East Limited at Beawar, Rajasthan, and the Rs 1,661 crore plant under construction by The Shyam Sel & Power Limited in West Bengal illustrate the scale of individual investments at stake. Contractors and equipment makers seeking early visibility across the full power projects sector in India can monitor both captive and grid-scale developments as demand signals continue to intensify.

For context on adjacent captive developments, see also: KP Energy's 42 MW hybrid captive power order from Emmvee in Karnataka and the 10 MW solar captive plant commissioned at Aster Medcity, Kerala.

Frequently asked questions

How many captive coal power plants has India ordered to operate at full capacity?

India has directed 112 captive coal-based power plants to operate at full capacity in response to rising electricity demand, according to a report by CNBC TV18 on 26 September 2026. No further details on total capacity or the issuing authority were available from the single outlet that reported the story.

How many captive power projects are currently tracked in India?

Projects India tracks 2,434 captive power projects nationally. Of these, 278 are in active construction, 1,045 are under approvals, 155 have received approvals, and 282 are on hold. Maharashtra, Karnataka and Chhattisgarh have the highest concentrations of tracked projects.

Which states have the most captive power projects in India?

Maharashtra leads with 405 tracked captive power projects, followed by Karnataka with 301, Chhattisgarh with 300, Uttar Pradesh with 200, Andhra Pradesh with 153, and Odisha with 144, based on Projects India's current database.

Drafted with AI assistance from published reports and Projects India’s own project database, then reviewed before publication.
Tags: captive power coal power plants power demand India industrial power captive power projects power projects India energy infrastructure
Sources: CNBC TV18 — https://www.cnbctv18.com

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