Power Sector Needs Rs 42 Lakh Crore Investment by 2032 to Meet Growing Demand: Union Minister

New Delhi, Jun 25 (KNN) India’s peak power demand is expected to touch 270 GW by the end of 2025, up from 250 GW recorded in May, according to Union Power Minister Manohar Lal.

Speaking at the Regional Conference for Eastern Region States and Union Territories in Patna, the minister noted the peak demand had already reached 242 GW this year.

Manohar Lal highlighted that India’s national grid now functions as a unified network under the “One Nation-One Grid” vision. He emphasized that coordinated planning between the Centre and states is crucial to meet growing electricity demand, which is projected to reach 446 GW by FY2034–35.

To support this growth, the power sector requires an estimated Rs 42 lakh crore investment by 2032. The Minister called on states to plan for nuclear plants, diversify their energy mix—including nuclear, renewables, and conventional sources—and strengthen intra-state transmission systems.

A sum of Rs 1.5 lakh crore in 50-year interest-free loans has been allocated in the 2025–26 Union Budget for state capital expenditure.

The share of renewables in India’s total power generation has increased from 32 per cent in 2014 to 49 per cent in April 2025. States have been urged to promote renewable energy with storage and enforce Renewable Purchase Obligations (RPOs). The Centre targets 100 GW of nuclear capacity by 2047.

The Minister stressed the need for prepaid smart metering across all government buildings by August 2025, and for commercial and industrial use by November 2025. He also called for resolving Right of Way (RoW) issues, exploring diverse funding options, and adopting cybersecurity measures.

Other leaders, including Shripad Yesso Naik and Power Secretary Pankaj Agarwal, urged states to expedite renewable energy projects and ensure financial sustainability of power utilities.

(KNN Bureau)