Business News, Nation, (New Delhi), June 30:-In India, 17 per cent of the 283 GW coal fleet is set to become uncompetitive in 2020, rising to 50 per cent in 2022 and 85 per cent in 2025, international researchers said on Tuesday.
They say phasing-out and replacing uncompetitive coal plants with renewable energy plus storage would generate savings of USD 2 billion in 2020, USD 8 billion in 2022, and USD 17 billion in 2025.
Researchers of Rocky Mountain Institute, Carbon Tracker Initiative and Sierra Club in a report offer financial data and specific tools for making global coal phase-out feasible.
The report, ‘How to Retire Early: Making Accelerated Coal Phase-Out Feasible and Just’, reveals that new renewable energy is already cheaper than continuing to operate coal plants in much of the world.
The authors estimate that replacing the entire fleet of global coal plants with clean energy plus battery storage could be done at a net annual savings as early as 2022.
The rapidly declining costs of renewables push net annual savings to $105 billion in 2025.
All this, the report states, is before considering coal’s dire health, climate, and environmental impacts, or accounting for the social and environmental benefits of reducing pollutants.
Currently, coal phase-out hasn’t kept pace with eroding economics.
Today, 17 per cent of the Indian coal fleet is uncompetitive compared with renewables with storage, and the immediate phase-out and replacement of this portion of the fleet could bring India USD 2 billion in annual savings, says the report.
The remaining 83 per cent could be phased out and replaced at a cost of USD 23 billion immediately.
However, these numbers are rapidly changing: by 2022, 50 per cent of the Indian coal fleet will be uncompetitive, and 85 per cent by 2025.
In 2025, savings from retiring uncompetitive plants will increase nearly nine-fold compared with 2020, to USD 17 billion per year. The remaining 15 per cent would cost USD 2 billion to replace in 2025.
-(NAV, Inputs: Agencies)