Electricity sector in India
| Electricity coverage | 81% (2013) |
|---|---|
| Installed capacity (28 Feb. 2017) | 315.42 GW |
| Share of fossil energy | 68.2% |
| Share of renewable energy | 30.0% |
| GHG emissions from electricity generation (2014) | 2019.67 MtCO2 |
| Average electricity use (2015-16) | 1,075 kWh per capita |
| Distribution losses (2014-15) | 22.77% |
| Transmission losses (2014-15) | 22.77% |
| Residential consumption (% of total, 2015-16) |
22.97% |
| Industrial consumption (% of total, 2015-16) |
44.20% |
| Commercial consumption (% of total, 2015-16) |
8.05% |
| Share of private sector in generation | 42% (December 2016) |
| 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 utility electricity sector in India had an installed capacity of 315.42 GW as on 28 February 2017. Renewable power plants constituted 30% of total installed capacity. During the fiscal year 2015-16, the gross electricity generated by utilities in India was 1,116.84 TWh and the total electricity generation (utilities and non utilities) in the country was 1,352 TWh or 1,075.64 kWh per capita. India is the world's third largest producer and fourth largest consumer of electricity.Electric energy consumption in agriculture was recorded highest (17.89%) in 2015-16 among all countries. The per capita electricity consumption is low compared to many countries despite cheaper electricity tariff in India.
By the end of calendar year 2015, despite poor hydro electricity generation, India had become a power surplus nation with huge electric power generation capacity idling for want of power demand. The calendar year 2016 started with steep fall in the international price of energy commodities such as coal, diesel oil, naphtha, bunker fuel and LNG which are used in electricity generation in India. Earlier many of the power stations which are using fuels other than coal are unable to operate due to high cost of LNG and petro products. This situation has changed due to glut in petroleum products globally. The prices are falling to such an extent that these fuels have become cheaper to give competition for pit head coal based power generators. Many of the stranded gas and liquid fuel based power stations would be competing with indigenous coal based power stations in an electricity market where demand growth is not encouraging. All the segments of the electricity sector such as fuel suppliers, fuel transporters (railways, harbours, pipelines, etc.), electricity generators, electricity transmission companies and distribution companies would be facing severe competition to cut down the prices and improve their operating efficiency in a final consumer dictated market. If the power distribution companies, keep on charging exorbitant tariffs to bulk consumers, they would be opting for solar/wind power plants or take over an existing power plant to meet their captive consumption. Due to tepid growth in electricity consumption, coal stocks are continuously building up at power stations as well as coal mines.
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