India power generation capacity is estimated at 303 GW as of August 2016. Out of this close to one-third capacity is lying unused for a variety of reasons and even the operational ones are having capacity utilization at close to 60%. The government added about 24,000 mw of fresh conventional capacity last year and plans to add 86 gigawatt by 2022. In addition, 100 gigawatt of solar capacity is to be added by 2022.
Some of the reasons for idle capacity are lack of power supply contracts with distribution companies, non-availability of coal, due to water shortage, some due to equipment failure and yet another set has been shut because its operations have turned uneconomical due to age of equipment.
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