India is burning more coal as extreme heat and the Iran war squeeze energy supplies
CNBC
Last updated: May 4, 2026
India's coal consumption is increasing significantly due to multiple factors, including energy supply disruptions and a surge in domestic energy demand. This has led to greater reliance on coal, a major contributor to carbon dioxide emissions.
- India, the world's third-largest emitter of carbon dioxide, is experiencing a substantial rise in coal burning. This surge is primarily driven by disruptions in energy supplies, exacerbated by the ongoing war in Iran, which has impacted global energy markets.
- Simultaneously, a severe nationwide heatwave has dramatically increased electricity demand for cooling purposes. This heightened demand, coupled with existing supply chain issues, has compelled India to rely more heavily on its domestic coal reserves to meet energy needs.
- The country's power generation sector, which heavily depends on coal, is facing pressure to maintain consistent supply amidst these challenges. Consequently, coal imports are also seeing an uptick to supplement domestic production and ensure grid stability during this critical period. The increased use of coal, however, raises concerns about India's environmental commitments and its carbon footprint.
