Government of India Strategizes Power Capacity Expansion to Meet Growing Peak Demand

Ministry of Power Government of India Strategizes Power Capacity Expansion to Meet Growing Peak Demand Comprehensive Generation & Transmission Planning Target 874 GW Capacity by 2031-32 प्रव तथ: 11 DEC 2025 5:32PM by PIB Delhi There has been consistent growth in peak demand in the country. The peak demand in the country during the last five years is given in the table. Despite consistent growth in power demand over the past years, the gap between the power demand and availability has declined due to significant increase in the generation capacity in the country. Government of India has taken following steps to meet the future increasing demand of the country: 1. Generation Planning: i. As per National Electricity Plan (NEP), 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. 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 creating/ contracting 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) The projected thermal (coal and lignite) capacity requirement by the year 2034–35 is estimated at approximately 3,07,000 MW as against the 2,11,855 MW installed capacity as on 31.03.2023. To meet this requirement, Ministry of Power has envisaged to set up an additional minimum 97,000 MW coal and lignite based thermal capacity. To meet this requirement, several initiatives have already been undertaken. Thermal capacities of around 16,560 MW have already been commissioned since April 2023 till November 2025. In addition, 40,345 MW of thermalcapacity (including 4,845 MW of stressed thermal power projects) is currently under construction. The contracts of 22,920 MW have been awarded and is due for construction. Further, 24,020 MW of coal and lignite-based candidate capacity has been identified which is at various stages of planning in the country. (B) 13,223.5 MW of Hydro Electric Projects are under construction. Further, 4,274 MW of Hydro Electric Projects are under various stage of planning and targeted to be completed by 2031- 32. (C) 6,600 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) 1,56,900 MW Renewable Capacity including 69,180 MW of Solar, 29,650 MW of Wind and 57,630 MW Hybrid power is under construction while 51,420 MW of Renewable Capacity including 36,530 MW of Solar and 13,090 MW Hybrid Power is at various stages of planning and targeted to be completed by 2029-30. (E) In energy storage systems, 11870 MW/71220 MWh Pumped Storage Projects (PSPs) are under construction. Further, a total of 6580 MW/39480 MWh capacity of Pumped Storage Projects (PSPs) are concurred and yet to be taken up for construction. 25,407.54 MW/77,092.52 MWh Battery Energy Storage System (BESS) 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 km of transmission lines and 1,274 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. Promotion of Renewable Energy Generation: Inter State Transmission System (ISTS) charges have been waived for inter-state sale of solar and wind power for projects to be commissioned by 30th June 2025, for Green Hydrogen Projects till December 2030 and for offshore wind projects till December 2032. 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. Renewable Energy Implementing Agencies (REIAs) are regularly inviting bids for procurement of RE power. Foreign Direct Investment (FDI) has been permitted up to 100 percent under the automatic route. To augment transmission infrastructure needed for steep RE trajectory, transmission plan has been prepared till 2032. Laying of new intrastate transmission lines and creating new sub-station capacity has been funded under the Green Energy Corridor Scheme for evacuation of renewable power. Scheme for setting up of Solar Parks and Ultra Mega Solar Power projects is being implemented to provide land and transmission to RE developers for installation of RE projects at large scale 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, New Solar Power Scheme (for Tribal and PVTG Habitations/Villages) under Pradhan Mantri Janjati Adivasi Nyaya Maha Abhiyan (PM JANMAN) and Dharti Aabha Janjatiya Gram Utkarsh Abhiyan(DA JGUA), National Green Hydrogen Mission, Viability Gap Funding (VGF) Scheme for Offshore Wind Energy Projects have been launched To encourage 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 on non-compliance. “Strategy for Establishment of Offshore Wind Energy Projects” has been issued. Green Term Ahead Market (GTAM) has been launched to facilitate sale of Renewable Energy Power through exchanges. Production Linked Incentive (PLI) scheme has been launched to achieve the objective of localisation of supply chain for solar PV Modules. The details of growth in peak demand of the country for the last five years: Year Peak Demand Peak Met Demand not Met (MW) % Growth (MW) % Growth (MW (%) 2020-21 1,90,198 3.5 1,89,395 3.8 802 0.4 2021-22 2,03,014 6.7 2,00,539 5.9 2,475 1.2 2022-23 2,15,888 6.3 2,07,231 3.3 8,657 4.0 2023-24 2,43,271 12.7 2,39,931 15.8 3,340 1.4 2024-25 2,49,856 2.7 2,49,854 4.1 2 0.001 This Information was given by the Minister of State for Power, Shri Shripad Yesso Naik, in a written reply in the Lok Sabha today. ****** NR/MD (रलीज़ आईडी: 2202418) आगंतुक पटल : 932 इस वज्ञ को इन भाषाओ ंम पढ़: Urdu , ही , Gujarati