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India's Power Sector Outlook

Indian Power Sector has done commendable effort in the last decade to maintain the country's economic growth with a constant rate of 7.5% CAGR that has been phenomenal. India has achieved this impressive feat through advancements in Power sector in terms of capacity and availability. With mass urbanization and increasing population there has been rising a demand for electricity in the nation, which makes compulsive the growth of Power Sector. Indian Power Sector is going through a revolutionary transition phase from labor to machine intensive production and constantly fuelling the energy requirements of various other industries, thereby, generating the urge for technological innovation. Power is one of the critical components of infrastructure and is directly proportional to the economic growth of the nation.

As estimated, India needs to augment its power production upto eight Lakh MW from the present 2.10 Lakh MW capacity to sustain present economic growth in next 25 years. Ministry of Power has set a target of 76,000 MW capacity additions during the 12th Five Year Plan. The investment required during this capacity addition would be of the tune of Rs 13,72,580 crore including funds for generation, T& D, captive power plants, R & D, Renovation & Modernization and for Renewable Energy projects.

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