India Witnessed 8% Surge in Electricity Consumption in First Half of 2023
India’s power ministry has implemented several measures to tackle the rising electricity demand as consumption surged by almost eight percent in the first half of the fiscal year, from April to September 2023. Official data reveals that electricity consumption reached approximately 847 billion units (BU) during this period, compared to 786 BU in the same timeframe of the previous fiscal year.
Experts in the industry suggest that unseasonal rain in April, May, and June might have impacted power consumption, resulting in a relatively lower growth rate. However, the power demand and consumption rebounded strongly from August onwards due to unusually high humidity levels. The increased use of cooling appliances like fans, coolers, and air conditioners contributed to the recovery. Furthermore, power consumption saw a subsequent surge in August and September, propelled by humid weather conditions and increased industrial activities leading up to the festive season.
In line with the rising demand for electricity, peak power demand hit a record high of 241 GW during April-September 2023, surpassing the 215.88 GW recorded in the first half of fiscal 2022-23. The power ministry had anticipated a peak power demand of 229 GW during the summer and implemented various measures to mitigate outages.
Under Section 11 of the Electricity Act 2023, the ministry mandated all plants powered by imported coal to run at full capacity, ensuring an adequate power supply in the country. Additionally, domestic coal-based power plants were required to import coal for blending, further averting any potential fuel shortage.
While these measures may have increased coal imports, ensuring round-the-clock power supply in the country was deemed crucial. As of August 2023, India boasts an installed power generation capacity of 424 GW, encompassing 206 GW from coal-based plants, 47 GW from large hydroelectric projects, and approximately 132 GW from renewable sources like solar and wind energy, among others, as per the latest report from the Central Electricity Authority (CEA).
With a balanced perspective, these developments reflect the robust growth in India’s electricity consumption and the government’s proactive approach to meet the rising power demand. The measures implemented by the power ministry have contributed to ensuring a steady power supply in the country, mitigating potential outages and supporting industrial activities.
