{"id":3201,"date":"2025-05-29T07:55:18","date_gmt":"2025-05-29T07:55:18","guid":{"rendered":"https:\/\/ilovemuscat.com\/?p=3201"},"modified":"2025-05-29T08:17:47","modified_gmt":"2025-05-29T08:17:47","slug":"indias-electricity-demand-to-grow-at-6-6-5-over-next-5-years-icra","status":"publish","type":"post","link":"https:\/\/ilovemuscat.com\/index.php\/2025\/05\/29\/indias-electricity-demand-to-grow-at-6-6-5-over-next-5-years-icra\/","title":{"rendered":"India&#8217;s electricity demand to grow at 6-6.5% over next 5 years: ICRA"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"3201\" class=\"elementor elementor-3201\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-d079cce e-flex e-con-boxed e-con e-parent\" data-id=\"d079cce\" data-element_type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-94a7a98 elementor-widget elementor-widget-text-editor\" data-id=\"94a7a98\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p data-start=\"76\" data-end=\"188\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\"><strong data-start=\"0\" data-end=\"27\" data-is-only-node=\"\">New Delhi, May 29, 2025<\/strong> \u2014 India&#8217;s electricity demand is projected to grow at a compound annual growth rate (<strong>CAGR) of 6.0\u20136.5% over the next five years,<\/strong> driven by the rapid adoption of electric vehicles (EVs), expansion of data centers, and development of green hydrogen projects, according to a recent report by credit rating agency ICRA.<\/span><\/p><p data-start=\"190\" data-end=\"308\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">In a webinar, Vikram V, Vice President &amp; Co-Group Head \u2013 Corporate Ratings at ICRA, stated, <strong>&#8220;Over the next five years, ICRA expects the electricity demand to achieve a CAGR of 6\u20136.5%, driven by the demand from rising adoption of electric vehicles (EVs), green hydrogen (GH), and the increase in data centre capacity.&#8221;<\/strong><\/span><\/p><p data-start=\"310\" data-end=\"428\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">These three sectors are anticipated to contribute <strong>20\u201325%<\/strong> of the incremental electricity demand between FY2026 and FY2030.<\/span>\u00a0<\/p><p data-start=\"430\" data-end=\"588\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">For FY2026, <strong>ICRA projects electricity demand growth at 5.0\u20135.5%,<\/strong> slightly lower than the expected GDP growth of 6.5% for the same period.<\/span> <span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">This is attributed to the anticipated early onset and above-average monsoon, which typically reduces the demand for cooling and from the agricultural sector.<\/span>\u00a0<\/p><p data-start=\"590\" data-end=\"748\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">To meet the rising demand, India is expected to add a record 44 GW of power generation capacity in FY2026<strong>, surpassing the previous high of 34 GW in FY2025.<\/strong><\/span> <span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">The thermal segment is projected to contribute 9\u201310 GW, with the remaining capacity additions coming from renewable energy sources.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-5035ccb e-flex e-con-boxed e-con e-parent\" data-id=\"5035ccb\" data-element_type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-917e6be elementor-widget elementor-widget-image\" data-id=\"917e6be\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"300\" height=\"200\" src=\"https:\/\/ilovemuscat.com\/wp-content\/uploads\/2025\/05\/hsyd.webp\" class=\"attachment-large size-large wp-image-3204\" alt=\"\" srcset=\"https:\/\/ilovemuscat.com\/wp-content\/uploads\/2025\/05\/hsyd.webp 300w, https:\/\/ilovemuscat.com\/wp-content\/uploads\/2025\/05\/hsyd-263x175.webp 263w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-58c5482 e-flex e-con-boxed e-con e-parent\" data-id=\"58c5482\" data-element_type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-156ea3b elementor-widget elementor-widget-text-editor\" data-id=\"156ea3b\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p data-start=\"750\" data-end=\"868\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">Despite the growth in renewable energy, coal remains a significant source of electricity generation in India, <strong>accounting for over 70% of the country&#8217;s electricity as of 2023.<\/strong><\/span><strong>\u00a0<\/strong><\/p><p data-start=\"870\" data-end=\"988\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">India&#8217;s national electric grid had an installed capacity of <strong>475.211 GW as of March 31, 2025,<\/strong> with renewable energy plants, including large hydroelectric power plants, constituting 46.3% of the total installed capacity.<\/span>\u00a0<\/p><p data-start=\"990\" data-end=\"1108\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">The government has set ambitious targets to increase renewable energy capacity to 500 GW by 2030, requiring significant investments in capacity additions and transmission infrastructure.<\/span>\u00a0<\/p><p data-start=\"1110\" data-end=\"1188\"><span class=\"relative -mx-px my-[-0.2rem] rounded px-px py-[0.2rem] transition-colors duration-100 ease-in-out\">As India continues its transition toward cleaner energy solutions, the projected growth in electricity demand underscores the need for substantial investment and expansion in power infrastructure to meet the evolving energy landscape.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>New Delhi, May 29, 2025 \u2014 India&#8217;s electricity demand is projected to grow at a compound annual growth rate (CAGR)&hellip;<\/p>\n","protected":false},"author":1,"featured_media":3202,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[40],"tags":[],"class_list":["post-3201","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/posts\/3201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/comments?post=3201"}],"version-history":[{"count":4,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/posts\/3201\/revisions"}],"predecessor-version":[{"id":3207,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/posts\/3201\/revisions\/3207"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/media\/3202"}],"wp:attachment":[{"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/media?parent=3201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/categories?post=3201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ilovemuscat.com\/index.php\/wp-json\/wp\/v2\/tags?post=3201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}