India’s electricity grid faced one of its toughest tests in June as an extended heatwave and weak monsoon rains sent air-conditioner use soaring across large parts of the country. Yet despite record demand for cooling, the country’s power system managed to keep pace by increasing electricity generation from both coal and renewable sources.
Data from federal grid regulator Grid-India, as reported by Reuters, showed that total electricity generation rose 10.4 per cent year-on-year in June to 178.31 billion kilowatt-hours (kWh), reflecting a sharp jump in power consumption as millions of homes, offices and businesses battled unusually high temperatures.
Coal-fired power stations, which continue to form the backbone of India’s electricity system, generated 120.20 billion kWh during the month — about 14 per cent more than a year earlier and the highest monthly output since November 2023, Reuters reported.
The surge came as India experienced one of its driest Junes in more than a century. According to the India Meteorological Department, the country recorded its fifth-driest June since 1901 after below-average monsoon rainfall coincided with an extended spell of extreme heat. The delayed and weaker rains kept temperatures elevated for longer, driving electricity demand for cooling well beyond seasonal norms.
Coal remains backbone during peak demand
The June figures once again underline the critical role coal continues to play in India’s energy mix, particularly during periods of peak electricity demand.
While India has rapidly expanded solar and wind capacity in recent years, coal-fired plants remain essential for supplying electricity during evening hours, when residential demand for cooling peaks but solar generation falls sharply.
Renewables also reached a new milestone
The rise in coal generation did not come at the expense of renewable energy.
Renewable electricity generation climbed 23 per cent from a year earlier to 33.81 billion kWh in June, lifting renewables’ share of India’s overall power mix to a record 19 per cent.
The figures highlight the country’s dual-track energy transition. As India continues to add record amounts of solar and wind capacity, conventional thermal power remains indispensable for ensuring grid stability during periods of exceptionally high demand.
Weak monsoon weighed on hydropower
While coal and renewables helped meet rising demand, hydropower output declined sharply because of lower rainfall.
Hydroelectric generation fell 24.4 per cent from a year earlier to 14 billion kWh, marking its steepest annual decline since February 2024. Lower reservoir levels and reduced river flows limited hydroelectric production at a time when the grid could have benefited from additional clean power.
Natural gas-based generation also declined, dropping 30.1 per cent compared with June last year.
More thermal power likely this year
Despite India’s aggressive push towards clean energy, analysts believe thermal power generation could remain elevated through the current financial year if electricity demand continues to rise.
The June data illustrates one of the biggest challenges facing India’s energy transition: while renewable energy is growing at a rapid pace, the country still requires dependable round-the-clock power from coal plants to maintain grid reliability during periods of extreme weather.
That challenge is becoming increasingly important as climate change contributes to more frequent and intense heatwaves, pushing electricity demand to record levels. Until battery storage and other grid-balancing technologies are deployed at scale, coal is likely to remain a key pillar of India’s power system during periods of peak consumption.
The latest numbers also mark a reversal from last year. In 2025, India’s coal-fired electricity generation had recorded its first annual decline since the COVID-19 lockdowns of 2020. June’s sharp increase suggests that weather-driven demand can still quickly alter the country’s electricity mix, even as renewable energy continues its rapid expansion.
With inputs from agencies.