India Reviews $30 Billion Sulphur-Cutting Program for Coal Plants

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  • Shift in Focus: Government proposes cheaper local solutions to reduce particulate matter instead of costly sulphur-reduction systems.
  • Low Sulphur Coal: Studies reveal Indian coal’s sulphur content is too low to justify flue-gas desulphurization (FGD) systems.
  • Policy Delays: Deadline for FGD installation may extend to 2029, highlighting challenges in meeting original targets.

What’s happening:

India is reconsidering its decade-old, $30 billion program requiring coal-fired power plants to install flue-gas desulphurization (FGD) systems. Only 8% of the 540 targeted power plant units have adopted the technology, hindered by high costs and operational challenges.

Why it matters:

India’s coal, which powers 92% of the country’s thermal energy, has a sulphur content of just 0.5%, significantly lower than global averages. Government-backed studies found minimal air quality improvements from FGD systems, questioning their necessity.

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There was really never any case for having FGDs in India… All our cities actually suffer from high particulate-matter pollution, not from sulphur dioxide pollution,” said R. Srikanth, head of engineering at NIAS.

The big picture:

  • Economic and technical hurdles: Installing FGD systems costs $141,000 per megawatt, with shutdowns of up to 45 days per plant, delaying compliance and capacity expansion.
  • Local alternatives: Indian authorities propose electrostatic precipitators, which cost one-fifth as much and are better suited for reducing particulate matter from high-ash Indian coal.
  • Environmental stakes: Coal-fired plants account for 80% of industrial sulphur and nitrogen emissions, making policy decisions critical for public health and climate goals.

The installation of FGD systems and carbon capture technologies should not be used as a smokescreen to justify the continued power generation from these unsustainable, CO2-intensive sources,” stated a report by IIT Delhi.

What’s next:

India’s government is consulting further on the policy shift, with a decision expected soon. Meanwhile, the power ministry has requested a three-year extension to the FGD installation deadline, now potentially pushed to 2029. Environmental groups stress the need for broader reforms to reduce reliance on coal-fired power.

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