Power Consumption May Grow 10% This Fiscal: Crisil Report
In December, peak demand rose once again by a sharp 12% YoY and 9% month-on-month to 206 GW.
Electricity consumption in the country is expected to grow at a decadal high of 9-10% year-on-year in the current fiscal, according to a report.
"We expect demand to grow a healthy 6-7% on-year in the fourth quarter owing to anticipated severe cold waves in parts of the country as well as healthy economic activity. For the full fiscal, electricity consumption is slated to grow at a decadal high of 9-10% vis-à-vis 8.2% in fiscal 2022," according to the report by CRISIL Market Intelligence and Analytics.
In December, peak demand rose once again by a sharp 12% YoY and 9% month-on-month to 206 GW, due to increased heating requirement with the onset of winter as well as continued momentum in manufacturing activity, which rose to a 25-month high during the month.
India's peak power demand touched a record high of 216 GW in April 2022, up 6% on-year, as several regions in the North reeled under a severe heatwave. The surge in demand was also contributed by industrial and manufacturing activities.
Generation in the third quarter of FY23 was affected by seasonally lower output from renewable sources, leaving costly thermal power to service incremental demand. The government is expecting a peak demand of 230 GW in April 2023.