Balancing Energy Security and Sustainability: The Rationale Behind India’s Continued Dependence on Coal

Authors

  • Deepak Kurmi Research Scholar, Department of Economics, Guru Ghasidas Vishwavidyalaya, Bilaspur, Chhattisgarh, India
  • Dr. Krishna Kumar Sharma Associate Professor, Department of Economics, Guru Ghasidas Vishwavidyalaya, Bilaspur, Chhattisgarh, India

Keywords:

Energy Security, Sustainable Energy Transition

Abstract

India's reliance on coal for energy security presents a complex challenge to balancing economic growth, energy access, and environmental sustainability. This study examines India's coal dependence, the socioeconomic implications of a rapid coal phase-out, and potential strategies for a sustainable energy transition. Employing a mixed-methods approach, this study analysed coal production and employment trends using data from Coal India Limited (CIL) and evaluated international coal phase-out experiences. The findings reveal that despite the growth of renewables, India's coal production reached a record high of 997.8 million tonnes in 2023-24, driven by rising energy demand and import substitution policies. However, CIL's workforce composition has shifted, with a decline in permanent employees and an increase in contractual workers, raising concerns about job security and labor rights. A comparative analysis of coal phase-out strategies in Germany, the United Kingdom, Indonesia, the United States, and China highlighted the significance of institutional capacity, policy coherence, and context-specific transition mechanisms. The study concludes that India's energy transition requires a balanced and gradual approach that prioritizes energy access, economic stability, and social equity. Policy recommendations include strengthening the renewable energy infrastructure, developing regional transition plans, and ensuring social protection for coal-dependent communities. Future research should explore the feasibility of clean coal technologies and the role of international climate finance in supporting India's transition to sustainable energy.

Downloads

Download data is not yet available.

References

Agora Energiewende. (2023). The future of coal in Germany: Policy pathways and transition support. https://www.agora-energiewende.de

Bhattacharyya, P. S. (2018). Sustainability of coal as a source of energy in India. In Sustainable Energy Technology and Policies (pp. 123–145). Springer. https://link.springer.com/chapter/10.1007/978-981-10-7188-1_11

Bhushan, C., Banerjee, S., & Agarwal, S. (2020). Just transition in India: An inquiry into the challenges and opportunities for a post-coal future. Authors Press. https://books.google.com/books?hl=en&lr=&id=2TYXEAAAQBAJ

Carbon Brief. (2022). Analysis: Why the UK has almost eliminated coal power. https://www.carbonbrief.org

Chandra, R., Pai, S., Nayak, S., & Devagudi, S. H. (2025). India’s coal conundrum: Decarbonization amidst a developmental legacy. WIREs Climate Change. https://doi.org/10.1002/wcc.928

Ember. (2023). China power sector: Coal and renewables data briefing. https://ember-climate.org

Garg, A., & Shukla, P. R. (2009). Coal and energy security for India: Role of carbon dioxide (CO₂) capture and storage (CCS). Energy, 34(10), 1032–1041. https://www.sciencedirect.com/science/article/pii/S0360544209000073

ICE-Data Insights. (2024). Coal consumption. NITI Aayog. Retrieved May 10, 2025, from https://iced.niti.gov.in/energy/fuel-sources/coal/consumption

International Energy Agency. (2022). Energy policy review: Indonesia 2022. https://www.iea.org/reports/indonesia-2022

International Energy Agency. (2023a). Germany 2023 energy policy review. https://www.iea.org/reports/germany-2023

International Energy Agency. (2023b). China's energy transition: Progress and challenges. https://www.iea.org

Janardhanan, N., & Tamura, K. (2020). The sociopolitical dynamics of coal transition in India. International Studies, 57(1), 23–39. https://doi.org/10.1177/0020881720912886

JETP Secretariat Indonesia. (2023). Just Energy Transition Partnership Investment Plan. https://www.jetp-id.org

Lahiri-Dutt, K. (2014). The coal nation: Histories, ecologies and politics of coal in India. https://doi.org/10.4324/9781315614793

Lal, S. R., Herbert, J. G. M., & Arjunan, P. (2022). Advancements in renewable energy transition in India: A review. Energy Sources, Part A: Recovery, Utilization, and Environmental Effects, 44(2), 1–14. https://www.tandfonline.com/doi/abs/10.1080/15567036.2021.2024921

Ministry of Power. (2024). Annual report 2023–24. Government of India. https://powermin.gov.in/sites/default/files/uploads/MOP_Annual_Report_Eng_2023-24.pdf

NRDC. (2023). The IRA and coal communities: Opportunities and challenges. https://www.nrdc.org

Pradhan, B. K., & Ghosh, J. (2022). A computable general equilibrium (CGE) assessment of technological progress and carbon pricing in India's green energy transition via furthering its renewable. Energy Economics, 104, 105–118. https://doi.org/10.1016/j.eneco.2021.105626

Roy, B., & Schaffartzik, A. (2021). Talk renewables, walk coal: The paradox of India's energy transition. Ecological Economics, 180, 105–115. https://doi.org/10.1016/j.ecolecon.2020.106932

Srivastava, A. (2023). A review on development of renewable energy sources in India. International Journal of Advanced Research.

Tongia, R., & Gross, S. (2019). Coal in India: Adjusting to transition. https://thecoalhub.com/wp-content/uploads/2019/05/Tongia_and_Gross_2019_Coal_In_India_Adjusting_To_Transition.pdf

UK Government. (2023). Powering up Britain: Net zero strategy update. https://www.gov.uk/government/publications

U.S. Energy Information Administration. (2024). Electric power monthly: Coal generation trends. https://www.eia.gov

Downloads

Published

2025-05-16

How to Cite

Kurmi, D., & Sharma, K. K. (2025). Balancing Energy Security and Sustainability: The Rationale Behind India’s Continued Dependence on Coal. American Journal of Economics and Business Management, 8(5), 2194–2202. Retrieved from https://globalresearchnetwork.us/index.php/ajebm/article/view/3576

Issue

Section

Articles

Similar Articles

<< < 2 3 4 5 6 7 8 9 10 11 > >> 

You may also start an advanced similarity search for this article.