Coal India’s Solar Capex Surges To ₹961 Crore, Exceeds FY26 Target With 2.33X Growth

Coal India Limited (CIL) has significantly accelerated its investment in solar energy, recording a capital expenditure of ₹961 crore on solar projects till January FY2026. This marks a sharp rise in spending as the company strengthens its diversification into clean energy.

The latest figure represents 132% achievement against the progressive target of ₹729 crore set for January 2026. Notably, CIL has already surpassed its full-year FY2026 solar capex target of ₹957 crore. On a year-on-year basis, the company’s solar expenditure has grown 2.33 times compared to ₹412 crore spent during the same period last year.

The cost of setting up solar capacity has also become more competitive. Currently, installing 1 MW of solar power requires an investment of around ₹4–4.5 crore, down from the earlier range of ₹5.5–6 crore per MW. This decline in costs is expected to support faster capacity addition.

A senior company executive said solar energy features prominently in CIL’s diversification strategy. The company is actively participating in solar auctions and sees solar power playing a pivotal role in its long-term sustainability roadmap.

CIL has set a target of installing 3,000 MW of renewable solar capacity by FY2028 as part of its broader net-zero ambition. As of December 2025, the company and its subsidiaries have installed around 247 MW of renewable energy capacity. This is projected to increase to 675 MW by the end of the current fiscal year.

Upcoming additions include two major solar projects in Gujarat — a 100 MW plant in Patan and a 300 MW project in Khavda. Beyond these, CIL is exploring nearly 2,000 MW of additional renewable capacity through subsidiaries and joint ventures, including projects in Rajasthan and Uttar Pradesh. The company has also invited bids for a 20 MW floating solar plant in Gorakhpur and is evaluating opportunities in battery energy storage systems.