Coal India doubles solar capex to ₹961 crore, surpassing FY26 targets | Company News

Coal India Ltd (CIL) has announced that it has more than doubled its capital expenditure on solar projects this fiscal, exceeding both its progressive and full-year targets, as the state-run miner accelerates clean energy diversification plans.

According to a statement issued by the company, the company’s capital expenditure on solar energy initiatives has increased to Rs 961 billion by FY26; This marks an increase of 2.33 times from Rs 412 Million in the same period of the previous year. The spending represents 132 percent of the incremental target of R729 billion set by January 2026. In the process, CIL also surpassed its full year fiscal expenditure target of Rs 957 billion for solar projects.

The increase in spending reflects the company’s focus on increasing solar power capacity as an alternative source of green energy. “Solar energy ranks high in CIL’s diversification portfolio. Among cleaner energy sources, solar energy will play an important role in the future and we are laying the groundwork to remain relevant in the country’s power sector,” a senior executive of the company quoted in the statement said.

CIL has targeted to install 3,000 MW of renewable solar capacity by FY28 as part of its plan to become a net zero entity. By December 2025, CIL and its subsidiaries had installed around 247 MW of renewable energy capacity. This figure is expected to rise to 675 MW by the end of the current financial year.

Upcoming additions include two major solar projects in Gujarat, including a 100 MW facility in Patan and a 300 MW project in Khavda.

Beyond these, CIL is exploring around 2,000 MW of renewable energy capacity in the near term through its subsidiaries and joint ventures. These include an 875 MW plant with Rajasthan Rajya Vidyut Utpadan Nigam Limited and a 500 MW plant to be developed in phases with Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited. Bids have also been invited for a 20 MW floating solar power plant in Gorakhpur.

CIL is also participating in Tariff Based Competitive Bidding (TBCB) tenders for solar power development in multiple states. Battery Energy Storage Systems (BESS) are also on the company’s radar. The company said the cost of installing 1 MW of solar capacity currently ranges from Rs 4 crore to Rs 4.5 crore, down from Rs 5.5 crore to Rs 6 crore per MW earlier.