Electricity sector in India
India is the third largest producer of electricity in the world. During the fiscal year (FY) 2022–23, the total electricity generation in the country was 1,844 TWh, of which 1,618 TWh was generated by utilities.
| Data | |
|---|---|
| Electricity coverage | 99.94% (31 March 2019) |
| Installed capacity | 416,059 MW |
| Production (FY2022) | 1719.442 TWh |
| GHG emissions from electricity generation (2018) | 2,309.98 Mt of CO2 |
| Average electricity use (FY2023) | 1,327 kWh per capita |
| Transmission & Distribution losses (FY2022) | 15% |
| Consumption by sector (% of total) | |
| Residential | 25.77% (FY2022) |
| Industrial | 41.16% (FY2022) |
| Agriculture | 17.67% (FY2022) |
| Commercial | 8.29% (FY2022) |
| Traction | 1.53% (FY2022) |
| Tariffs and financing | |
| Average residential tariff (US$/kW·h, Dec. 2020) | ₹5.75 (7.2¢ US) |
| Average commercial tariff (US$/kW·h, Dec. 2020) | ₹8.64 (11¢ US) |
| Services | |
| Share of private sector in generation | 33.46% (FY2020) |
| Institutions | |
| Responsibility for policy-setting | Ministry of Power |
| Responsibility for renewable energy | Ministry of New and Renewable Energy |
| Responsibility for the environment | Ministry of Environment, Forest and Climate Change |
| Electricity sector law | Electricity Act, 2003 |
The gross electricity consumption per capita in FY2023 was 1,327 kWh. In FY2015, electric energy consumption in agriculture was recorded as being the highest (17.89%) worldwide. The per capita electricity consumption is low compared to most other countries despite India having a low electricity tariff.
The Indian national electric grid has an installed capacity of 416.0 GW as of 31 March 2023. Renewable energy plants, which also include large hydroelectric power plants, constitute 40.7% of the total installed capacity.
In 2021, India's electricity generation was heavily reliant on coal, which constituted 71.5% of the total output. Natural gas contributed 3.8%, nuclear energy 2.9%, and oil 0.3%. Renewable energy sources collectively accounted for 21.5% of the generation, with hydroelectric power at 9.9%, wind power at 4.7%, solar photovoltaic (PV) at 4.6%, biofuels at 2.1%, and waste at 0.2%.
The government declared its efforts to increase investment in renewable energy. Under the government's 2023-2027 National Electricity Plan, India will not build any new fossil fuel power plants in the utility sector, aside from those currently under construction. It is expected that non-fossil fuel generation contribution is likely to reach around 44.7% of the total gross electricity generation by 2029–30.