India drives rise in proposed coal-mine capacity, report says

New coal-mine proposals worldwide could add 2.5 billion tonnes of annual production capacity, an increase of 11 percent from the previous year, according to a report by the research group Global Energy Monitor.

The rise was driven largely by proposed projects in the Indian states of Odisha and Jharkhand, where the pipeline of new mines doubled. The expansion aligns with India’s plan to raise coal output by nearly 100 million tonnes to 1.15 billion tonnes in the 2025-26 fiscal year.

India is seeking more electricity supplies to support economic growth and meet demand during increasingly severe heatwaves. The new proposals come as forecasters expect global coal demand to level off and renewable generation continues to expand.

The report distinguishes proposed capacity from mines that have actually begun operating. New projects with about 113 million tonnes of annual capacity started production in 2025, 40 percent less than in 2024 and the lowest pace in a decade. New-mine starts fell sharply in China and Australia, by 44 percent and 96 percent respectively, according to the report.

Global Energy Monitor said the growing pipeline of Indian projects conflicts with the International Energy Agency’s expectation that global coal demand will slow by the end of the decade. A separate analysis by energy thinktank Ember found that wind and solar power together exceeded coal’s share of global electricity generation for the first time in 2025.

The figures show a widening gap between the long-term shift toward renewable power and government plans to secure domestic energy supplies through additional coal production. Because many of the projects remain proposals, their eventual effect will depend on whether they receive approval, financing and construction commitments.