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Electricity sector in India

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Electricity sector of India
Data
Electricity coverage100%[1]
Continuity of supplyUrban- 23.4 hr; Rural- 22.6 hr (2023-24)[2]
Average electricity use1,460 kWh per capita (FY 2024-25)[3]
Transmission & Distribution losses17.63% (FY 2023-24)[4]
Institutions
Responsibility for regulationCERC, SERC
Responsibility for policy-settingMinistry of Power

India is the third-largest producer and consumer of electricity after China and the United States, with about 6-7% share of global electricity generation.[5] The country generated 2059.3 TWh in FY 2024-25, of which 23% came from non-fossil sources.[6]

Electricity in India is generated by both public and private sector utilities, transmitted through a unified national grid, and distributed primarily by state-owned distribution companies (DISCOMs).

India Electricity Flow (TWh) in FY 2023-24[7]

The sector has undergone significant reforms since the Electricity Act of 2003, which introduced competition, open access, and independent regulation. Despite rapid growth in generation and transmission capacity, the distribution segment continues to face financial stress due to high technical and commercial losses.

The sector emitted 1234.2 million tonnes of CO2 in FY 2024-25.[8] As part of its commitment to achieve net-zero emissions by 2070,[9] India plans to install 500 GW of non-fossil fuel capacity by 2030[10] and 60% non-fossil capacity by 2035.[11]

History

[edit]

Electricity was first introduced in India during British rule in 1879 with the demonstration of electric light in Kolkata,[12] followed by the country's first hydroelectric power station at Darjeeling in 1897 and first coal power plant at Kolkata in 1899.[13][14] Electricity supply was largely developed by private companies serving urban centers and industries.

After independence in 1947, the Electricity (Supply) Act of 1948[15] established the Central Electricity Authority (CEA) for planning at central level and State Electricity Boards (SEBs) at state level. SEBs oversaw generation, transmission, and distribution within each state. The sector expanded rapidly through successive Five-Year Plans, with coal and large hydroelectric projects forming the backbone of India's power system.

Regional Grids

However, not every state was rich in coal or hydro resources. This led them to depend on diesel generators. In 1960s, regional grid was conceptualized to supplement power from neighboring states.

By the 1970s, REC was established to finance rural electrification. Generation was not able to keep up with growing demand. This, along with the oil price shocks led the central government to nationalize coal mines[16] and establish CIL, NTPC and NHPC.

In the 1980s, MNRE was established to explore non-conventional energy sources. Rural electrification accelerated. However, due to votebank politics by state governments, tariffs were kept low which strained their finances. In order to further develop the sector, PFC was established for financing needs.

By the 1990s, the idea of a national grid was conceptualized and led to the establishment of PGCIL. The 1991 economic liberalization led to policy reforms. It allowed private participation in generation (via licenses) and the Electricity Regulatory Commissions Act, 1998 created independent regulators at central (CERC) and state level (SERC).

Generation trend - sector wise

In the 2000s, the Electricity Act, 2003 consolidated prior legislation, mandated the unbundling of SEBs. Generation and distribution was de-licensed to encourage competition, and open access was introduced in transmission.

In the 2010s, all the five regional grids were fully synchronized to form a single national grid.[17] Large-scale electrification programmes such as DDUGJY and Saubhagya extended electricity access to nearly all households.[18] India also pursued renewable energy deployment goals.

In the 2020s, the nation achieved 100% household electrification,[19] opened nuclear power to private sector,[20] while continuing to expand its generation capacity, with renewables making up about 87% of total additions between FY 2020-21 and FY 2025-26.[21]

Generation

[edit]

India is the third-largest producer of electricity in the world. The country's utilities and captive plants generated 2059.3 TWh in FY 2024-25, with non fossil sources accounting for 23%.[6]

Below tables compiles installed capacity and generation data for recent years. Note:

  • Coal includes lignite.
  • Hydro includes both large and small hydro.
  • Bio includes biomass, bagasse, and waste to energy.
Cumulative installed capacity (GW)
Financial year Utility Captive
Coal Diesel Gas Nuclear Hydro Bio Wind Solar Total Coal Diesel Gas Hydro Bio Wind Solar Total
2021-22[22][23] 210.7 0.5 24.9 6.8 51.5 10.7 40.4 54 399.5 45.3  18.7 5.7 0.1 3.2 3.8 76.7
2022-23[22][24] 211.9 0.6 24.8 6.8 51.8 10.8 42.6 66.8 416.1 46.8 18.1 6.4 0.1 0.1 3.5 3.5 78.4
2023-24[22][7] 217.60.6258.251.910.945.981.8 442.0 46.1 19.6 6.2 0.1 0.2 3.7 4.5 80.9
2024-25[22][6] 221.80.624.58.252.811.650105.6 475.2 46.5 19.7 6.3 0.1 9.1 81.7
2025-26[25] 228.60.620.18.856.611.756.1150.3 532.7
Gross Generation (TWh)
Financial Year Utility Captive
Coal Diesel Gas Nuclear Hydro Bio Wind Solar Total Coal Diesel Gas Hydro Bio Wind Solar Total
2021-22[22][23] 1078.60.236.047.1162.118.368.673.41484.5 179.2 2.1 20.8 0.4 4.0 2.8209.3
2022-23[22][24] 1182.10.423.945.9173.318.671.8102.01617.9 179.8 2.0 21.1 0.3 0.2 4.8 3.7211.9
2023-24[22][7] 1294.90.431.347.9143.517.083.4116.01734.3 183.1 10.2 21.7 0.3 0.3 4.8 3.6223.9
2024-25[22][6] 1331.60.431.356.6160.215.983.3144.21824.2 186.9 12.0 23.0 0.4 12.8235.1
2025-26[26][27] 1280.70.426.055.2179.217.1106.7174.81840.1
Electricity Generation by Source
Installed Capacity

Sources

[edit]

Fossil fuels

[edit]

India has huge coal reserves, about an estimated 400.7 billion tonnes as of Apr, 2025[28] and as such it contributes a major share in electricity generation (typically 73%[22]). The sector consumed 906.1 million tonnes of coal in FY 2025-26.[29] Coal would remain a major source of generation in future, with likely peaking between 2030-2035.[30]

Diesel-based generation plays a negligible role, used mainly for captive or emergency power. Utilization of gas plants has been limited due to low domestic availability and high prices of imported LNG.[31]

Nuclear power

[edit]

India has modest uranium reserves, about 325,000 tonnes,[32] but has the largest thorium reserves in the world, around 457,000 - 508,000 tonnes.[33] In order to leverage thorium's potential, the country's nuclear power programme is based on a three-stage strategy where it plans on building up a larger fissile inventory by:

It would then deploy thorium-based reactors operating on a self-sustaining uranium-233 fuel cycle.[34]

The nation's fleet is operated by the state-owned NPCIL. The installed capacity is projected to reach 22.48 GW by 2031–32, and is aiming to develop at least five indigenously designed and operational SMRs by 2033.[35] India opened the sector to private ownership in Dec 2025, with a vision of expanding installed capacity to 100 GW by 2047.[20]

Renewable energy

[edit]

Solar is the fastest-growing segment of the sector. India has about 3343 GWp of solar PV potential.[36] Development started in 2010s through bundling, Viability Gap Funding, until global prices of solar PV collapsed steeply. As on March 2026, large parks (ground-mounted) make up about 76% of installed solar capacity.[37] India has very limited domestic production of energy-intensive polysilicon and ingots / wafers, so, it assembles Chinese-imported solar cells to make modules / panels. As on March 2026, domestic manufacturing capacity of solar cell and module is around 27 GW and 172 GW respectively.[38] In order to indigenise its supply chain, India has mandated use of domestic cells for all solar projects from Jan 2027.[39]

Wind power generation began in 1990s. With an estimated potential of 1164 GW at 150m above ground,[40] the segment has transitioned from early feed-in tariff mechanism to competitive bidding after 2017.[41] This drove down tariffs, but also reduced project profitability, slowing down further capacity additions.[42] As on March 2026, India has 24 GW of turbine manufacturing capacity with 70-80% indigenisation across components.[40]

Hydropower is India's oldest sources of large-scale electricity generation. With 133.4 GW of potential (for >25 MW plants),[43] 47% is concentrated in the Brahmaputra basin alone. Almost, all of which remains remains untapped due to difficult terrain, geological risks, environmental concerns, and high project costs.[44] In recent years, the role of hydropower has expanded beyond electricity generation, with pumped-storage projects being promoted to provide energy storage and grid balancing support as solar and wind capacity increases.

Other renewable sources make up a small share (~6%[27]) of total renewable generation. Small hydro harnesses the energy of rivers and canals, particularly in hilly and remote regions. Estimated potential is around 21.1 GW, with only 5.1 GW installed, as of March 2026.[45] 1.5 GW of capacity is further planned between FY 2026-27 to FY 2030-31.[45] Bagasse based co-generation in sugar mills export surplus captive power to the grid. India has mandated 5% agro residue based biomass pellets for co-generation with coal plants, by weight, from FY 2024-25.[46] Waste-to-energy plants utilize municipal solid waste, sewage, and other biodegradable wastes.

Storage

[edit]

Energy storage systems (ESS) help in maintaining grid stability from intermittent and variable renewable energy sources and enabling round-the-clock supply of low-carbon electricity. Pumped-Storage Hydropower (PSH) and Battery ESS (BESS) are the most widespread and commercially viable means of energy storage.

India has identified a potential PSH of 290.4 GW[47] and has an installed capacity of 7.2 GW as of FY 2025-26.[48] It plans to install 100 GW by FY 2035-36.[49] In 2020, power tariff from Solar PV clubbed with PSH fell below the coal plant tariffs in offering base load and peak load power supply.[50]

India has 0.5 GW / 1.1 GWh of installed BESS as of FY 2025-26.[51] The government is supporting development of 43.8 GWh of BESS through Viability Gap Funding.[52]

There has been renewed interest in solar thermal because of its energy storage properties. As of 2025, India has an installed capacity of just 329.5 MW of solar thermal, out of which only 101 MW was operational.[53] Other storage technologies like Flywheel Energy Storage, Compressed Air Storage, Green Hydrogen, etc. are in nascent stages of development.

Transmission and distribution

[edit]

India has one of the world's largest interconnected electricity transmission and distribution (T&D) systems. The transmission network facilitates long-distance bulk power transfer, typically using 400kV, 765 kV AC and ±500 kV, ±800 kV HVDC to minimize resistive losses. The national grid, which was synchronized in 2013, consists of:

  • Inter-State Transmission System (ISTS): Largely managed by Central Transmission Utility (wholly owned by PowerGrid), with private participation through Tariff Based Competitive Bidding route, with a few exceptions.[54]
  • Intra-state Transmission System (Intra-STS): Managed by State Transmission Utility of each state. Projects are developed by State Government through competitive bidding process for projects costing above a threshold limit which are decided by the SERCs.[54]
India - AT&C trend

Voltages are progressively reduced to 220kV, 132kV, 66kV, 33kV, 11kV, 6.6kV for distribution. The segment is managed by state-owned DISCOMs, which are facing:

  • High aggregate technical and commercial (AT&C) losses, and
  • A gap between average cost of supply (ACS) and average revenue realized (ARR)

As such, distribution remains the most financially stressed part of the sector.

The Government launched several initiatives to improve the operational efficiency and financial health of DISCOMs:

Unaccounted losses from transmission and distribution was 288.9 TWh for FY 2023-24, about 17.63% of total generation.[6]

Total energy sold by the DISCOMs in FY 2024-25 was 1423 TWh.[6] Below tables compiles the performance of 65 out of total 72 DISCOMs.

Overview of DISCOMs performance[55]
Key parameters Unit FY 2024-25
Energy Sold by participating DISCOMs TWh 1334.9
Profit with tariff subsidy received excluding regulatory income & UDAY grant INR crore -11270
Profit with tariff subsidy received including regulatory income & UDAY grant INR crore 41
ACS-ARR gap (tariff subsidy received) including regulatory income & UDAY grant Rs/kWh -0.01
ACS-ARR gap (tariff subsidy received) excluding regulatory income & UDAY grant Rs/kWh 0.06
Billing efficiency % 87.59
Collection efficiency % 97.00
AT&C loss % 15.04
Outstanding debt INR crore 726378
Accumulated losses INR crore 647210

Consumption

[edit]
Electricity consumption by sector
Electricity consumption by sector - trend

India consumed a total electrical energy of 1540.6 TWh in FY 2023-24, with a per capita consumption of 1400 kWh.[22] As of May 2026, India met a peak demand of 270.82 GW on May 21, driven by cooling needs due to intense and widespread heatwave conditions across the nation.[56]

Electricity consumption (in TWh)[22]
FY 2023-24 FY 2024-25
Industrial 640.6 655.6
Residential 369.1 408.5
Agriculture 275.5 260.3
Commercial 128.6 135.2
Others 92.9 128.9
Railway traction 33.9 34.5
Total 1540.6 1623
Per capita (kWh) 1400 1460
Per capita consumption

Industrial

[edit]

The industrial sector encompasses manufacturing (automobiles, textiles, steel, cement), chemicals, mining, and construction. Energy-intensive industries like steel, aluminum, and cement contribute significantly to the demand. As India seeks to become a major manufacturing hub through Make in India and National Green Hydrogen Mission, the demand will likely increase in the future. The Perform, Achieve and Trade scheme is the major government step to improve energy efficiency in the sector.

Residential

[edit]

The residential sector primarily includes use of household appliances such as air conditioners, refrigerators, fans, and other appliances. Rapid urbanization and rural electrification efforts have driven consumption. With rising global temperatures, residential demand will likely be driven by cooling needs. Steps taken by government to shape consumption include standards & labeling (to help consumers identify energy-efficient products), UJALA (LED bulbs), and Go Electric Campaign (to promote electric mobility and electric cooking).

Agriculture

[edit]

Irrigation pumps are the main source of consumption in this sector. In many states, electricity for agriculture is either subsidized or provided for free, which has led to inefficiencies and high consumption levels.[57] The government has been working to reduce energy wastage in this sector by promoting solar-powered irrigation systems (PM-KUSUM) and more energy-efficient pumps (part of AgDSM), which are expected to help curb future demand.

Commercial

[edit]

The commercial sector includes areas like offices, retail establishments, malls, hotels, and restaurants. With increasing urbanization and the growth of the services sector, demand for electricity in this sector is steadily rising. Adoption of energy-efficient technologies and sustainable building practices[58] is helping manage consumption growth.

Others

[edit]

This includes municipal sector which encompasses public lighting, water works and sewage. MuDSM was launched to reduce energy consumption.

Railway traction

[edit]

Ongoing electrification efforts by Indian Railways is the main driver of rising consumption trend. Replacing diesel operated routes with electricity. As of May 31, 2026, India has electrified 99.6% of its broad-gauge railway network (70,002 route km out of 70,271 route km).[59]

Government's efforts on improving energy efficiency across all the sectors, resulted in a net energy savings of 210 TWh between FY 2011-12 and 2020-21. For FY 2020-21, 56% of overall yearly savings came from industrial sector, and 40% from residential.[60]

International trade

[edit]

India is centrally located in South Asian region, sharing boundaries with Nepal, Bhutan, Bangladesh, and Myanmar. India and these neighboring countries have signed bilateral agreements for cross-border power transfer.[61]

  • India–Bhutan (2006): The nations signed an agreement to jointly develop hydroelectric power projects in Bhutan and the transmission systems, allowing trade between the nations.
  • India–Bangladesh (2010): The nations signed an MoU to established cross-border grid connectivity for power generation and transmission.
  • India–Nepal (2014): The nations signed an agreement to establish cross-border grid connectivity for power exchange and trading.
  • India–Myanmar (2016): The nations signed an MoU for mutually beneficial investments in R&D, consultancy, cooperation in generation and transmission in order to enhance Myanmar's power sector.
  • India–Saudi Arabia (2023): The nations signed an MoU to explore connecting their electricity systems, exchange electricity during peak demand periods or emergencies. And jointly develop renewable energy and green hydrogen projects.
  • India–United Arab Emirates (2024): The nations signed an MoU to develop cross-border interconnection for trade and cooperation on regulatory matters, development of green hydrogen and energy storage technologies.
  • India–Sri Lanka (2025): The nations signed an MoU to develop solar projects in Sri Lanka along with cross-border interconnection for trade.[62]
India's electricity trade (TWh)
Fiscal yearBhutanNepalBangladeshMyanmar
Export Import Export Import Export Import Export Import
2023-24[63] 1.1 5 1.8 1.7 8.4 0 0.01 0
2024-25[64]0.9 5.31.6 2.18.1 00.01 0
2025-26[65]1.7 7.71.4 3.38.2 00.01 0

One Sun, One World, One Grid (OSOWOG): Under the International Solar Alliance, India aims to create a globally interconnected renewable-energy grid to enable cross-border transfer of solar and other clean energy, based on the principle that the sun never sets across the world.

Governance and regulatory framework

[edit]

Electricity is a concurrent subject matter in the Constitution of India. As such, central and state governments can both legislate on the Indian power sector. The sector is primarily governed under the Electricity Act, 2003 and the Energy Conservation Act, 2001, which together lay out the regulatory and policy foundations for generation, transmission, distribution, and energy efficiency.

Central level

[edit]

Ministry of Power is the nodal ministry which oversees the development of the electricity sector in India. It is responsible for planning, policy formulation, processing of projects for investment decisions, monitoring project implementation, training and manpower development, and the administration and enactment of legislation related to thermal and hydro power, as well as the transmission and distribution network. It is also responsible for the administration of India's Electricity Act (2003), the Energy Conservation Act (2001).[66]

Central Electricity Authority (CEA) is the technical advisory body to the Ministry, which is also responsible for data collection and dissemination, through its National Electricity Plan for a five year period.[67]

Ministry of New and Renewable Energy (MNRE) is the nodal ministry for the development and promotion of renewable energy technologies. MNRE facilitates research, design, development, manufacture, and deployment, setting technical standards, and aligning domestic renewable energy costs with global benchmarks.[68]

Central Electricity Regulatory Commission (CERC) is an autonomous statutory body responsible for regulating the electricity sector at the national level. It regulates the tariff of generating companies owned or controlled by the Central Government and regulates, issues licenses and determine tariff for inter-state transmission.[69]

State level

[edit]

State electricity regulatory commissions (SERCs) function as independent regulators at the state level, determining tariffs, issuing licenses, promoting competition, and ensuring consumer protection. They operate under the guidance of the Electricity Act, 2003, and coordinate with CERC for interstate issues.

Electricity market

[edit]

In the electricity market in India, power can be traded between generators, distributors and large consumers through bilateral contracts or power exchanges. Bilateral contracts are negotiated between two parties and are often for long term, providing stable prices. Power exchanges allow electricity to be traded through collective transactions, where buy and sell bids are anonymously submitted and aggregated. The market is cleared based on supply-demand equilibrium, with the intersection of the demand and supply curves determining the Market Clearing Price (MCP) and Market Clearing Volume (MCV). Power exchanges helps supplement long term arrangements, while allowing discovery of efficient prices.

India has three power exchanges:

They offer products like day-ahead market, real-time market, and term-ahead market. These exchanges are regulated by CERC and also allow trading of Renewable Energy Certificates. In FY 2024-25, out of 1692 TWh supplied, 143.7 TWh (about 8.5%) was transacted via power exchanges, with the balance being supplied under long-term or bilateral arrangements.[70] 8.5% is relatively small compared to countries with liberalized markets where exchanges handle a much larger share.

Multiple power exchanges create fragmentation and lead to disparate price discovery. CERC has ordered market coupling to create a single clearing price, simplifying procurement, improving cost predictability, and reducing administrative burdens for DISCOMs and industries while improving price discovery and system efficiency. The coupling would be implemented for Day-Ahead Market by Jan 2026 after a shadow pilot project was conducted which could lead to a savings of ₹1.4 crore per day.[71]

CERC would also couple other segments like real-time market and term-ahead market after pilot runs and consultations.

Environmental concerns

[edit]

The electricity sector in India has significant environmental implications, primarily due to the continued reliance on fossil fuels, especially coal. While renewable energy capacity is expanding rapidly, coal still dominates the generation mix, contributing to high levels of air and water pollution, land degradation, and greenhouse gas emissions.

Air pollution

[edit]

Prior to 2015, thermal power plants were only required to meet the norms for particulate matter (150 mg/ Nm3 for 210 MW and above; 350 mg/ Nm3 for less than 210 MW plant), with standards set for chimney height for proper emission dispersion (220m for less than 500 MW, 275m for above 500 MW).[72]

In December 2015, MoEFCC introduced following regulations for thermal power plants with initial compliance deadline of Dec 2017. Due to techno-economic constraints, the deadlines were extended multiple times with the latest deadlines below.

Emission norms (mg/Nm3)[73][74][75][76][77]
Installed date PM NOx Mercury SO2
Before Jan 2004 100 600 0.03 (≥ 500MW) 600 (< 500 MW)
200 (≥ 500 MW)
Jan 2004 – Dec 2016 50 450 0.03 600 (<500 MW)
200 (≥ 500 MW)
Jan 2017 onward 30 100 0.03 100
Retirement deadlines for compliance exemption Category A: Dec 2022

Category B: Dec 2025

Category C: Dec 2025

 Category A: Dec 2030

Category B: Dec 2030

Category C: Exempt

Compliance deadlines for non-retiring plants Category A: Dec 2022

Category B: Dec 2023

Category C: Dec 2024

 Category A: Dec 2027

Category B: Dec 2028

Category C: Exempt

Note:

  • Category A plants: Plants within 10 km radius of NCR and cities having 10L+ population (as per 2011 census)
  • Category B plants: Plants within 10 km radius of critically polluted areas or non-attainment cities (as per CPCB)
  • Category C plants: Remaining plants

In case of non-compliance after the stipulated deadlines, an Environmental Compensation of Rs. 0.2 / unit generated will be levied for up to 180 days, Rs 0.3 / unit for 180–365 days, and Rs 0.4 / unit for beyond 365 days.[78]

Water and land impacts

[edit]

Coal mining, particularly open-cast mining, leads to deforestation, land degradation, and displacement of communities in several parts of the country.

Coal-based power generation requires substantial water for cooling, which can stress local water resources, especially in water-scarce regions. Additionally, the discharge of heated water into rivers and lakes can lead to thermal pollution, affecting aquatic ecosystems. In December 2015, MoEFCC introduced following regulations for thermal power plants with a deadline of Dec 2017. However, compliance remains uneven.[79]

Installed date Specific water consumption[73]
Before Jan 2017 3.5 m3/MWh
Jan 2017 onward Initial: 2.5 m3/MWh

Revised: 3 m3/MWh[79]

Greenhouse gas emissions

[edit]
CO2 emissions from electricity sector

India emitted 2959 million tonnes of CO2 equivalent (excluding LULUCF) in FY 2020-21,[80] with electricity sector emitting 909.7 MT CO2,[81] contributing 31% to the total emissions.

The sector emitted 1234.2 MT CO2 in FY 2024-25, with a weighted average emission intensity of 0.71 kg CO2 / kWh of electricity generated.[8] Emission figures include generation from utility plants and power injected into the grid by captive plants.

CO2 emissions per kwh
Emissions from electricity sector[82]
FY CO2 (million tonnes) Weighted average

emission factor

2020-21 909.7 0.703
2021-22 1002 0.715
2022-23 1108.1 0716
2023-24 1203.4 0.727
2024-25 1234.2 0.710

Total emissions are estimated to reach 1114 MT CO2 in FY 2029-30, with an average emission factor of 0.477 kg CO2 / kWh.[83]

Challenges

[edit]

India's electricity sector faces many challenges, categorized across generation, transmission & distribution and consumption.

Generation

[edit]
  • Dependency on coal: Despite growth in renewables, coal remains dominant in generation, leading to air pollution and greenhouse gas emissions fueling climate change. The government has indicated that coal will likely peak between 2030-35.[84]
  • Coal plants flexibility: Indian coal plants were designed to run at a minimum technical load (MTL) of 70–80% of their rated capacity. Due to increasing share of variable renewable energy generation, coal plants have to operate at low output, ramp up and down more frequently than they were originally designed for. This causes significant wear and tear. However, after modifications and new operating practices, many can now operate at around 55%, with some modern units at 40%, and further plans at 25% MTL.[85]
  • Grid stability: The intermittent nature of solar and wind generation also puts strain on the grid to maintain a constant frequency. BESS can act as a shock absorber to balance the difference between generation and consumption.

Transmission and distribution

[edit]
  • DISCOM's Finances: Despite improvements under various government schemes, India has high T&D losses due to ageing infrastructure, poor billing efficiency, poor collection efficiency and power theft. This leads to delays, cash flow problems, and loss of revenue for DISCOMs. Tariff reforms and better billing efficiency could improve their financial health.
  • Congestion: India's overall renewable curtailment has generally been relatively low on a national basis, but certain regions (Gujarat, Rajasthan, and Tamil Nadu) have experienced higher renewable generation than they could consume locally. Expanding interstate transmission networks for power evacuation, and co-locating ESS with solar and wind plants can help with transmission congestion, while supplying renewable power round-the-clock.

Consumption

[edit]
  • Quality of supply: While India has achieved 100% household electrification, most households, especially in rural areas, find the electricity supply intermittent and unreliable.[86]
  • Subsidies & political interference: Due to vote-bank politics, electricity prices for farmers are kept artificially low, which often leads to wasteful consumption. Further burdening state finances.[87]

See also

[edit]

References

[edit]
  1. ↑ "Steps taken to achieve 100 per cent electrification of all households in the country". Pib.gov.in. Retrieved 24 July 2026.
  2. ↑ "Average electricity supply in rural areas has increased from 12.5 hours in 2014 to 22.6 hours in 2025, and in urban areas to 23.4 hours in 2025: Shri Manohar Lal". Pib.gov.in. Retrieved 24 July 2026.
  3. ↑ "Year End Review of Ministry of Power - 2025". Pib.gov.in. Retrieved 24 July 2026.
  4. ↑ Government of India, Ministry of Power, Central Electricity Authority, New Delhi (2025). "All India Electricity Statistics 2025, General Review 2025, Containing Data for the Year 2023-2024" (PDF). Retrieved 8 August 2026.{{cite web}}: CS1 maint: multiple names: authors list (link)
  5. ↑ "Understand Energy in India | Understand Energy Learning Hub". understand-energy.stanford.edu. 27 January 2026. Retrieved 7 June 2026.
  6. 1 2 3 4 5 6 Government of India, Ministry of Statistics and Programme Implementation, Economic Statistics Division, National Statistics Office (2026). Energy Statistics of India 2026 (PDF) (33rd ed.).{{cite book}}: CS1 maint: date and year (link) CS1 maint: multiple names: authors list (link)
  7. 1 2 3 "All India Electricity Statistics : 2025" (PDF). Cea.nic.in. Retrieved 28 July 2026.
  8. 1 2 "CO2 Baseline Database for the Indian Power Sector" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  9. ↑ "Cabinet OKs enhanced climate action goals under Paris Agreement". 4 August 2022.
  10. ↑ "India's Stand at COP-26". Pib.gov.in.
  11. ↑ "Cabinet approves India's Nationally Determined Contribution (2031-2035) to be communicated to the United Nations Framework Convention on Climate Change". www.pib.gov.in.
  12. ↑ "History". Cesc.co.in.
  13. ↑ Mukherjee, Shivaji. "Sidrapong Hydel Power Station". Wbpower.nic.in.
  14. ↑ "Updated GR 2025 Merged" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  15. ↑ "THE ELECTRICITY (SUPPLY) ACT, 1948" (PDF). Cercind.gov.in. Retrieved 24 July 2026.
  16. ↑ "History". Archive.coalindia.in.
  17. ↑ "Prime Minister to Dedicate Raichur-Sholapur 765 kV Single Circuit Line". Pib.gov.in. Retrieved 7 June 2026.
  18. ↑ "Major Highlights (as on 31.01.2025)" (PDF). Static.pb.gov.in. Retrieved 24 July 2026.
  19. ↑ "Steps taken to achieve 100 per cent electrification of all households in the country". Pib.gov.in. Archived from the original on 30 April 2025. Retrieved 9 December 2025.
  20. 1 2 "What is SHANTI Bill 2025? Top things to know about the new nuclear energy bill & what it means". 19 December 2025. Archived from the original on 18 July 2026.
  21. ↑ "Installed Capacity Report - Central Electricity Authority". Archived from the original on 16 March 2021. Retrieved 7 June 2026.
  22. 1 2 3 4 5 6 7 8 9 10 11 "GROWTH OF ELECTRICITY SECTOR IN INDIA FROM 1947-2025" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  23. 1 2 "All India Electricity Statistics : 2023" (PDF). Cea.nic.in. Retrieved 28 July 2026.
  24. 1 2 "All India Electricity Statistics : 2024" (PDF). Cea.nic.in. Retrieved 28 July 2026.
  25. ↑ "Installed Capacity (in MW) of the country as on 31.03.2026" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  26. ↑ "Category Wise- Fuel Wise utility electricity Generation. Daily Report of 31 March 2026" (PDF). Npp.gov.in. 31 March 2026.
  27. 1 2 "Broad Overview of RE Generation March 2026" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  28. ↑ "Coal & Lignite Resource | Ministry of Coal". Coal.gov.in. Retrieved 24 July 2026.
  29. ↑ "Coal Supply and Logistics to Meet Electricity Demand". Pib.gov.in. Retrieved 24 July 2026.
  30. ↑ "Coal Demand Likely to Peak Between 2030-2035". Pib.gov.in. Retrieved 24 July 2026.
  31. ↑ "20268.17 MU generated by Gas-based Power Stations during April-Jan in FY 2022-23". Pib.gov.in. March 2023.
  32. ↑ [dead link]
  33. ↑ "Thorium-Powered Future: Key to India's 100 GW Nuclear Goal". Nuclearbusiness-platform.com. Retrieved 24 July 2026.
  34. ↑ "A New Chapter in India's Nuclear Journey". Pib.gov.in. Retrieved 24 July 2026.
  35. ↑ "Nuclear Power in Union Budget 2025-26". Pib.gov.in. February 2025.
  36. ↑ "With Scientific Solar Mapping and Training Initiatives, India is Building a Self-Reliant Clean Energy Future: Union Minister Pralhad Joshi". Pib.gov.in. Retrieved 24 July 2026.
  37. ↑ "Ministry of New and Reneable Energy : State-wise (Location based) installed capacity of Renewable Power as on 31.03.2026" (PDF). Cdnbbsr.s3waas.gov.in. Retrieved 28 July 2026.
  38. ↑ "India's solar manufacturing hits 172 GW. Here's what changed in 10 years". India Today. 29 March 2026. Retrieved 28 July 2026.
  39. ↑ "Weeks after rollout, Centre defers domestic solar cell sourcing mandate till December 31". 19 July 2026.
  40. 1 2 "Global Wind Day 2026 : Charting India's Path to 100 GW and Beyond". Pib.gov.in. Retrieved 24 July 2026.
  41. ↑ "Harnessing the Wind for India's Ambitious Energy Transition". Ceew.in. 15 June 2023. Retrieved 28 July 2026.
  42. ↑ "Committee Reports". Prsindia.org. Retrieved 28 July 2026.
  43. ↑ "Hydropower Potential from Major/Medium Schemes is about 133.4GW: Shri R. K. Singh, Union Power & NRE Minister". Pib.gov.in. Retrieved 24 July 2026.
  44. ↑ [dead link]
  45. 1 2 "Small Hydro Power Development Scheme". Pib.gov.in. Retrieved 28 July 2026.
  46. ↑ "Revised Biomass Policy mandates 5% biomass co-firing in Thermal Power Plants from FY 2024-25: Union Minister for Power and New & Renewable Energy". Pib.gov.in. Retrieved 28 July 2026.
  47. ↑ "PUMPED STORAGE POTENTIAL IN THE COUNTRY" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  48. ↑ "In Operation PSPs in the Country (Above 25 MW Capacity)" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  49. ↑ "India to hit 100 GW pumped storage hydropower by 2035-36: CEA". Economictimes.indiatimes.com. January 2026.
  50. ↑ "Solar storage tariff spells trouble for coal". Archived from the original on 13 February 2020. Retrieved 10 February 2020.
  51. ↑
  52. ↑ "Grid Stability and Energy Storage". Government of India. Press Information Bureau. 27 July 2026. Retrieved 8 August 2026.
  53. ↑ "Rethinking India's solar strategy: Why solar thermal deserves a second look". Downtoearth.org.in. September 2025.
  54. 1 2 "CEA annual report 2023-24" (PDF). Archived from the original (PDF) on 15 December 2025.
  55. ↑ "Report on Performance of Power Utilities 2024-25" (PDF). Pfcindia.co.in. Retrieved 24 July 2026.
  56. ↑ "India's Power Consumption Rises 11.5% in May; Peak Demand Hits Record 270.8 GW". Buinessworld.in.
  57. ↑ "Greening the green revolution - A model for India's clean energy programme for agriculture". Energy.economictimes.indiatimes.com. July 2023.
  58. ↑ "BUREAU OF ENERGY EFFICIENCY, Government of India, Ministry of Power". Beeindia.gov.in. Retrieved 24 July 2026.
  59. ↑ "Indian Railways nears 100% electrification: Only 269 Route Km left across 5 states". Indianexpress.com. 7 June 2026.
  60. ↑ "National Electricity Plan (Volume I) - Generation" (PDF). Archived from the original (PDF) on 14 July 2024.
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  62. ↑ "India and Sri Lanka sign MoU for solar projects and HVDC interconnections - Power Line Magazine". powerline.net.in. 8 April 2025. Retrieved 7 June 2026.
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  66. ↑ "India loses $86 billion annually to power sector distortions: World Bank". Archived from the original on 17 December 2018. Retrieved 17 December 2018.
  67. ↑ "Functions - Central Electricity Authority". Central Electricity Authority.
  68. ↑ "Introduction | MINISTRY OF NEW AND RENEWABLE ENERGY | India". Mnre.gov.in.
  69. ↑ "Central Electricity Regulatory Commission". Cercind.gov.in.
  70. ↑ "Annual Market Monitoring Report for the FY 2024-25-reg" (PDF). Cea.nic.in. Retrieved 24 July 2026.
  71. ↑ "Explained: What is market coupling in power sector, and how it will change electricity pricing in India". Energy.economictimes.indiatimes.com. July 2025.
  72. ↑ "Thermal Power Plants" (PDF). Archived from the original (PDF) on 13 July 2018.
  73. 1 2 "Thermal Plant Emission Notification" (PDF). December 2015. Archived from the original (PDF) on 1 February 2021.
  74. ↑ "Notification" (PDF). The Gazette of India. 30 December 2024. Archived from the original (PDF) on 10 February 2025.
  75. ↑ "Environment Ministry exempts 78% of coal plants from installing key anti-polluting systems". Thehindu.com. July 2025.
  76. ↑ "Parliament question: installing of FGD system". Ministry of Environment, Forest and Climate Change. 4 August 2025. Retrieved 9 August 2026.
  77. ↑ "Experts flag dilution of NOx emission limit for coal-fired power stations". Downtoearth.org.in. July 2020.
  78. ↑ "The Gazette of India : 5 September 2022". Parivesh.nic.in. Retrieved 24 July 2026.
  79. 1 2 "It is imperative to improve water efficiency in India's coal-fired thermal power plants". Downtoearth.org.in. May 2023.
  80. ↑ "India - fourth biennial update report to the United Nations Framework Convention on Climate Change" (PDF). Archived from the original (PDF) on 14 January 2025.
  81. ↑ "CO2 Baseline Database for the Indian Power Sector - User Guide" (PDF). December 2024. Archived from the original (PDF) on 20 March 2025.
  82. ↑ "CDM - CO2 Baseline Database". Cea.nic.in.
  83. ↑ "Report on optimal generation mix 2030 version 2.0" (PDF). April 2023. Archived from the original (PDF) on 14 May 2023.
  84. ↑ "Coal Demand Likely to Peak Between 2030-2035". Pib.gov.in. December 2022.
  85. ↑ "NTPC to set up flexible coal-fired units to ensure reliable power supply". The Times of India. 5 June 2026.
  86. ↑ "Indian villages are 100% electrified, but what's next?". Downtoearth.org.in. February 2024.
  87. ↑ "Power Minister RK Singh warns of debt trap for using borrowed money to provide free electricity". Economictimes.indiatimes.com. April 2024.
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