Coal India’s solar push surges: Capex jumps 2.33X to Rs.961 Cr till Jan FY’26 as CIL eyes 3,000 MW renewable capacity by FY28.
KOLKATA : Coal India Limited (CIL), India’s state-owned Maharatna coal behemoth, has accelerated its push into solar energy, with capital expenditure on solar initiatives reaching Rs.961 crore till January FY’26 — a 2.33x jump from Rs.412 crore in the same period last year.
The company has not only surpassed its progressive target of Rs.729 crore for January 2026 by 132%, but also exceeded its full fiscal year target of Rs.957 crore for solar projects.
“Solar power lists high on CIL’s diversification portfolio. Among cleaner energy sources, solar will play a pivotal role, and we are laying the groundwork to remain relevant in the country’s energy sector. We are actively participating in solar auctions as well,” said a senior CIL executive.
Falling Solar Installation Costs Boost Capacity Addition
The cost of setting up 1 MW of solar capacity has fallen to Rs.4–4.5 crore, down from Rs.5.5–6 crore per MW earlier, making large-scale solar expansion more feasible.
Till December 2025, CIL and its subsidiaries had installed around 247 MW of renewable energy capacity, which is expected to increase to 675 MW by the end of FY26. Key upcoming projects include:
● 100 MW solar plant in Patan, Gujarat
● 300 MW solar plant in Khavda, Gujarat
Beyond these, CIL is scouting for an additional 2,000 MW of renewable energy capacity through subsidiaries and joint ventures, including:
● 875 MW plant in collaboration with Rajasthan Rajya Vidyut Utpadan Nigam Limited
● 500 MW capacity with Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited (phased manner)
Additionally, the company has floated bids for a 20 MW floating solar plant in Gorakhpur and is actively participating in Tariff-Based Competitive Bidding (TBCB) tenders across multiple states. Battery Energy Storage Systems (BESS) are also part of CIL’s diversification strategy.
Towards Net-Zero by FY28
CIL aims to emerge as a Net-Zero entity by installing 3,000 MW of renewable solar capacity by FY28, reflecting the company’s strong commitment to cleaner energy sources.
With the ongoing capacity expansions and participation in competitive solar bids, CIL is positioning itself as a major player in India’s energy transition, complementing its dominant role in coal production with a robust green energy portfolio.
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