More than 40% of India’s coal-fired power stations are currently operating with critically low inventory, according to government data from late September. By October 1, 85 plants reported coal stocks below 25% of their required levels. The resulting energy deficit is hitting the manufacturing sector hard; in Chhattisgarh, operators of smaller steel mills report daily outages of 10 to 12 hours. These businesses are now forced to scale back production or rely on expensive, diesel-fueled generators to keep operations running.

The impact extends well beyond industrial zones. In Uttar Pradesh, home to over 240 million people, some rural areas are enduring seven-hour blackouts as regional grids struggle to distribute limited power. With monsoon rainfall at a decade-low, the reliance on coal-fired generation has intensified at the worst possible moment, leaving the country’s infrastructure vulnerable to the compounding effects of climate volatility and supply chain exhaustion.