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Introduction

India’s power sector has undergone a remarkable transformation since the 1940s. From small, localized grids, the country has developed one of the largest unified power grids globally. This evolution reflects India’s commitment to meet its growing energy demands and integrate renewable energy sources, propelling the nation toward a sustainable energy future.

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Evolution of the Power Grid

Initially, India’s power grids were fragmented and operated in isolation. Over several decades, concerted efforts have unified these disparate systems into a cohesive national grid. This unification has not only enhanced efficiency but also enabled the optimization of energy resources across the country.

  • Inter-Regional Transmission Capacity Growth: The inter-regional transmission capacity surged from 5,750 MW in 1997 to 112,250 MW in 2022. This expansion is pivotal for distributing power efficiently across regions, especially in integrating renewable energy sources.

Renewable Energy Integration

Renewable energy (RE) is at the forefront of India’s energy agenda.

  • Projected Growth: By FY2025, solar and wind energy are expected to meet 75% of the incremental power demand. The share of renewable energy in India’s energy mix is projected to rise from 33.5% in FY2024 to 35% in FY2025.

  • 500 GW Target by 2030: India aims to achieve 500 GW of renewable energy capacity by 2030, aligning with its commitment to net-zero emissions by 2070.

Rising Power Demand and Drivers

The country’s power demand is growing rapidly, with an expected 7% compound annual growth rate (CAGR) over FY2024–27.

  • Key Drivers:

    • Electrification: Increased access to electricity across rural and urban areas.

    • Industrialization: Expansion of industries and establishment of new industrial hubs.

    • Data Centers: The rise of digital infrastructure consuming 8.4 TWh annually, projected to grow from 960 MW to 7.5–9 GW by FY2030.

    • Electric Vehicles (EVs): Growing adoption of EVs necessitating charging infrastructure.

    • Green Hydrogen Production: Emerging demand for green hydrogen as a clean energy source.

    • Weather Patterns: Heatwaves increasing the need for cooling and, consequently, electricity consumption.

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Challenges in Transmission Infrastructure

Despite significant advancements, challenges persist:

  • Geographical Disparities: Renewable energy sources like wind and solar are often located far from urban and industrial consumption hubs.

  • Infrastructure Gap: Bridging the distance between generation sites and consumption centers requires robust transmission infrastructure.

  • Comparison with Global Peers:

    • China: Utilizes centralized decision-making to rapidly deploy ultra-high-voltage (UHV) lines connecting remote energy-rich regions to urban centers.

    • India: Initiatives like the Green Energy Corridor aim to expedite the development of inter-state and intra-state grids.

India’s transmission and distribution sector stands at the cusp of a significant transformation. With a clear roadmap focusing on renewable energy integration, infrastructure expansion, and technological innovation, India is poised to meet its future energy demands sustainably. The journey from isolated grids to a unified national network underscores the nation’s dedication to innovation and ambition. As the energy landscape evolves, India’s power grid is set to become a cornerstone of its economic growth and environmental stewardship—unfolding one megawatt at a time.

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