PLF for new power plants could rise as old units head for closure

As of May 2019, India's total thermal power capacity stood at 226.3 Gw

The Union finance minister, in her maiden Budget speech, spoke of retiring old and inefficient power plants. The move, industry officials and experts have said, will phase out 20-30 gigawatt (Gw) of thermal capacity from the system.

“Recommendations of the high-level empowered committee (HLEC) on retirement of old and inefficient plants, and addressing low utilisation of gas plant capacity due to paucity of natural gas, will also be taken up for implementation,” Nirmala Sitharaman said.
 

While the announcements did not include any big bang measures for the power sector, experts said the phasing out of old plants and improving utilisation of