Lok Sabha Question No. 3387 (UNSTARRED), answered on 2025-03-20
Subject: Electricity Consumption
Ministry: POWER
Asked by: Shri Tatkare Sunil Dattatrey

## GOVERNMENT OF INDIA MINISTRY OF POWER

## LOK SABHA UNSTARRED QUESTION NO.3387 ANSWERED ON 20.03.2025

## ELECTRICITY CONSUMPTION

## 3387.  SHRI TATKARE SUNIL DATTATREY:

Will the Minister of POWER be pleased to state:

(a) whether  India's  electricity  consumption  is  expected  to  triple  by  the  year  2050 according  to  an  annual  World  Energy  Outlook  report  from  the  International  Energy  Agency which projects that India would become the third-largest electricity consumer globally by midcentury driven by annual demand growth of over four percent, if so, the details thereof; and

(b) the  steps  taken/proposed  to  be  taken  by  the  Government  to  achieve  the  anticipated target reported by the International Energy Agency?

## A N S W E R

THE MINISTER OF STATE IN THE MINISTRY OF POWER

(SHRI SHRIPAD NAIK)

(a) : As per the World Energy Outlook 2024 published by International Energy Agency, India would become third largest electricity consumer in the world by the year 2050 on the back of growth in demand of over 4% a year in all scenarios. The report mentions that India is poised to  experience  more  energy  demand  growth  than  any  other  country  over  the  next  decade. Report  also  indicates  that  India  will  have  world's  third-largest  installed  battery  storage capacity in place by 2030 to accommodate the rising share of variable renewables.

(b) :      Central  Electricity  Authority (CEA) conducts Electric Power Survey (EPS) in every five years for estimating the power demand of each State/UT (including Mega City) of the Country. The last  EPS  report  i.e,  20 th  EPS  report  was  published  in  November,  2022  which  covers  the electricity  demand  projections  for  the  year  2021-22  to  2031-32  as  well  as  perspective electricity demand projection for the year 2036-37 and 2041-42 for the country.  The details of projected demand in terms of Peak and energy requirement are given at Annexure.

Subsequently, National Electricity Plan (NEP) is prepared by CEA  every five year for Generation and Transmission.  NEP Generation covers the incremental capacity requirement to meet the projected load and energy requirement. The last NEP Generation Report 2022-32, published in May 2023, includes detailed capacity addition requirement during the years 202227 and Perspective Plan projections for the years 2027-32.

In accordance with NEP, the Government of India has proactively undertaken several measures along with existing initiatives to ensure the adequacy of generation and transmission resources. These, inter-alia, include the following:

## 1. Generation Planning:

- (i) Present  installed  generation  capacity  of  the  country  is  470  GW.  Installed  generation capacity  in  2031-32  is  likely  to  be  874  GW.  This  includes  capacity  from  conventional sources- Coal, Lignite etc., renewable sources- Solar, Wind and Hydro etc.
- (ii) With a view to ensure generation capacity remains ahead of projected peak demand, all the States, in consultation with CEA, have prepared their ' Resource Adequacy Plans (RAPs)', which are dynamic 10 year rolling plans and includes power generation as well as power procurement planning.
- (iii) All  the  States  were  advised to initiate process for creation of generation capacities; from all generation sources, as per their Resource Adequacy Plans.
- (iv) In  order  to  augment  the  power  generation  capacity,  the  Government  of  India  has initiated following capacity addition programme:
- A. Government  of  India  has  proposed  in  November  2023  for  setting  up  of  an additional minimum 80,000 MW coal-based capacity by 2031-32.  Against this target,  coal-based  capacity  of  9,350  MW  has  already  been  commissioned  in 2023-24  &  2024-25.  29,900  MW  Thermal  Capacity  is  under  construction  and contracts for 22,640 MW thermal capacity have been awarded in FY 2024-25. Further,  33,580  MW  of  coal  and  lignite-based  candidate  capacity  has  been identified which is at various stages of planning in the country.
- B. 13,997.5  MW  of  Hydro  Electric  Projects  are  under  construction.  Further, 24,225.5 MW of Hydro Electric Projects are under various stage of planning.
- C. 7,300  MW  of  Nuclear  Capacity  is  under  construction  and  targeted  to  be completed by 2029-30.  7,000 MW of Nuclear Capacity is under various stages of planning and approval.
- D. 1,53,920 MW Renewable Capacity including 84,310 MW of Solar, 28,280 MW of Wind and 40,890 MW Hybrid power is under construction while 70,210 MW of Renewable Capacity including 46,670 MW of Solar, 600 MW of Wind and 22,940 MW  Hybrid  Power  is  at  various  stages  of  planning  and  targeted  to  be completed by 2029-30.
- E. In energy storage systems, 13,050 MW/78,300 MWh Pumped Storage Projects are under construction/concurred and 14,970 MW/54,803 MWh Battery Energy Storage System are currently under various stages of construction/bidding.

## 2. Transmission Planning:

Inter  and  Intra-State  Transmission  System  has  been  planned  and  implementation  of  the same is taken up in matching time frame of generation capacity addition. As per the National Electricity  Plan,  about  1,91,474  ckm  of  transmission  lines  and  1274  GVA  of  transformation capacity is planned to be added (at 220 kV and above voltage level) during the ten-year period from 2022-23 to 2031-32.

.........3.

## 3.  Promotion of Renewable Energy Generation:

- (i) Ministry  of  New  &  Renewable  Energy  (MNRE)  has  issued  Bidding  Trajectory  for issuance  of  RE  power  procurement  bids  of  50  GW/annum  by  Renewable  Energy Implementing Agencies from FY 2023-24 to FY 2027-28.
- (ii) Foreign  Direct  Investment  (FDI)  has  been  permitted  up  to  100  percent  under  the automatic route.
- (iii) Inter State Transmission System (ISTS) charges have been waived for inter-state sale of solar and wind power for projects to be commissioned by 30 th  June 2025, for Green  Hydrogen  Projects  till  December,  2030  and  for  offshore  wind  projects  till December, 2032.
- (iv) To  boost  RE  consumption,  Renewable  Purchase  Obligation  (RPO)  followed  by Renewable Consumption Obligation (RCO) trajectory has been notified till 2029-30. The  RCO  which  is  applicable  to  all  designated  consumers  under  the  Energy Conservation Act, 2001 will attract penalties for non-compliance.
- (v) Standard  Bidding  Guidelines  for  tariff  based  competitive  bidding  process  for procurement of Power from Grid Connected Solar, Wind, Wind-Solar Hybrid and Firm & Dispatchable RE (FDRE) projects have been issued.
- (vi) Schemes such as Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM),  PM  Surya  Ghar  Muft  Bijli  Yojana,  National  Programme  on  High Efficiency  Solar  PV  Modules,  National  Green  Hydrogen  Mission,  Viability  Gap Funding (VGF) Scheme for Offshore Wind Energy Projects have been launched.
- (vii) Scheme for setting up of Ultra Mega Renewable Energy Parks is being implemented to provide land and transmission to RE developers for installation of RE projects at large scale.
- (viii) Laying  of  new  transmission  lines  and  creating  new  sub-station  capacity  has been funded under the Green Energy Corridor Scheme for evacuation of renewable power.
- (ix) 'Strategy  for  Establishment  of  Offshore  Wind  Energy  Projects'  has  been  issued indicating a bidding trajectory of 37 GW by 2030 and various business models for project development.
- (x) The Offshore Wind Energy Lease Rules, 2023 have been notified vide Ministry of External  Affairs  notification  dated  19 th   December  2023,  to  regulate  the  grant  of lease of offshore areas for development of offshore wind energy projects.
- (xi) To  achieve  the  objective  of  increased  domestic  production  of  Solar  PV  Modules, the Govt. of India is implementing the Production Linked Incentive (PLI) scheme for High Efficiency Solar PV Modules. This will enable manufacturing capacity of Giga Watt (GW) scale in High Efficiency Solar PV Module

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ANNEXURE ANNEXURE  REFERRED  IN  REPLY  TO  PART  (b)  OF  UNSTARRED  QUESTION  NO. 3387 ANSWERED IN THE LOK SABHA ON 20.03.2025

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The detail of projected demand as per 20 th  EPS survey:

| FY       |   Energy Requirement (BU) |   Peak Electricity Demand (GW) |
|----------|---------------------------|--------------------------------|
| 2031-32* |                      2474 |                            366 |
| 2036-37  |                      3095 |                            466 |
| 2041-42  |                      3776 |                            575 |

*  As  per  mid-term  review  of  20 th   EPS,  the  projected  peak  demand  and  energy requirement on FY 2031-32 will be 388 MW and 2703 BU respectively.

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