Energy | Power surge

Though our power-generating capacity has made a quantum leap, so has demand, causing a supply lag

An aerial view of the Pavagada Solar Park in Thirumani village, Karnataka, Oct. 2021

The Indian power sector has come a long way since Independence when access to electricity was restricted to a few urban areas with almost no supply in rural areas. The country has taken big strides since then—both in the installed electricity-generating capacity as well as transmission & distribution (T&D). From a meagre 1,362 MW in 1947, the total power-generating capacity has increased to 403,761 MW at the end of June 2022.

The Indian power sector has come a long way since Independence when access to electricity was restricted to a few urban areas with almost no supply in rural areas. The country has taken big strides since then—both in the installed electricity-generating capacity as well as transmission & distribution (T&D). From a meagre 1,362 MW in 1947, the total power-generating capacity has increased to 403,761 MW at the end of June 2022.


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Meanwhile, per capita electricity consumption has increased from just 16.3 kWh in 1947 to 805 kWh in 2021-22. However, due to the rise in consumption, the electricity supply has not been able to match demand. This has led to many parts of the country facing power shortages during peak demand.

Left: A power generation plant in Delhi; (Photo: Getty)

Under the Union Budget 2022-23, the Centre announced the issuance of sovereign green bonds for funding green infrastructure, as well as conferring infrastructure status to energy storage systems, including grid-scale battery storage systems. In the same budget, Rs 19,500 crore was allocated for a PLI (production-linked incentive) scheme to boost the manufacturing of high-efficiency solar modules. Allowing 100 per cent Foreign Direct Investment (FDI) in the power sector has raised inflow in the sector. Schemes such as Deen Dayal Upadhyaya Gram Jyoti Yojana and Integrated Power Development Scheme are expected to augment electrification across the country.


LEAD ESSAY | Freedom@75 | A new tryst with destiny