India’s increasing power demands

In 2022, India’s power demand grew about 8%, at nearly double the pace of the Asia Pacific region something to more than 149.7 terawatt-hours (TWh) from 2021.

Power consumption data:

• Over 80% of India’s energy needs are met by three fuels: coal, oil and solid biomass.
• Coal has underpinned the expansion of electricity generation and industry, and remains the largest single fuel in the energy mix.
• Oil consumption and imports have grown rapidly on account of rising vehicle ownership and road transport use.
• Biomass, primarily fuel wood, makes up a declining share of the energy mix, but is still widely used as a cooking fuel.

Impacts of more consumption:

• India is the third-largest global emitter of CO2, despite low per capita CO2 emissions.
• The carbon intensity of its power sector in particular is well above the global average.
• Additionally, particulate matter emissions are a major factor in air pollution, which has emerged as one of India’s most sensitive social and environmental issues: in 2019, there were well over one million premature deaths related to ambient and household air pollution.

Sources of power generation in India:

• The Overall generation in the country has been increased from 1048.673 during 2014-15 to 1107.386 BU* during the year 2015-16.
• The Category wise generation performance as follows: Thermal Increased by 7.45 %, Hydro Reduced by 6.09 %, and Nuclear Increased by 3.63 %.
• Overall leader of electricity generation in India is thermal power (68%) of total power generation in India.

Why power demand is increasing?

• Household consumption increasing: Homes account for a fourth, while agriculture has accounted for over a sixth in the recent years.
• Consumption patterns vary wildly by state and season:
  • A heatwaves and easing of COVID-19 curbs drove power demand higher in the first half of 2022.
  • Erratic weather and a jump in agricultural activity were among the most prominent reasons behind the high growth in the second half of last year, according to a federal power ministry presentation reviewed by Reuters.
  • Uneven dry spells in few Northern states.
• Higher Industrial demand: Industrial and commercial activity account for more than half of India’s annual power use.
• Less sustainability of renewable energy sources: The powers sources like solar are less obtained for high energy consumption like for AC or a washing machine in households and large machines in Industries’.
  • Even they are liable to more installation cost.

Government interventions:

• Under the Union Budget 2022-23, the government announced the issuance of sovereign green bonds, as well as conferring infrastructure status to energy storage systems, including grid-scale battery systems.
• In the Union Budget 2022-23, the government allocated Rs. 19,500 crore (US$ 2.57 billion) for a PLI scheme to boost the manufacturing of high-efficiency solar modules.
• Electrification in the country is increasing with support from schemes like Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY), Ujwal DISCOM Assurance Yojana (UDAY), and Integrated Power Development Scheme (IPDS).
• India has launched the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) Scheme to provide energy and water security, de-dieselise the farm sector and generate additional income for farmers by producing solar power