India's muddled coal policy leaves producers and banks poorer

Government shrugs off power glut and allows buying of more land for production

20180830 coal plant

A boy examines a pigeon on a rooftop near a coal-fired power plant in New Delhi.

MEGHA BAHREE, Contributing writer

SINGRAULI, India -- After years of developing the thermal energy sector to meet the demands of a nation prone to outages, India is now facing a power glut with over 30 such producers teetering on bankruptcy. Yet the government shows no letup in its drive for more coal power and the effect of oversupply is rippling out to other sectors such as banks.

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