Govt eyes additional 11,920 MW to meet summer power demand

Energy demand is expected to be 1,42,097 MU during April, the highest for the year 2023 before reducing to 1,41,464 MU in May and further declining continuously to 1,17,049 MU during November. (Representative image)

The government is eyeing a total of 9,000 megawatt (MW) electricity from gas-based power plants and another 2,920 MW from brand new thermal power plants to meet the surge in power demand this summer, the power ministry said on March 9.

As per estimates of the Central Electricity Authority (CEA), the peak electricity demand is expected to be 229 gigawatts (GW) in April this year. Union minister for power RK Singh chaired a high-level meeting on March 7 to take stock of the preparations to ensure power supply during the peak months.

As first reported by Moneycontrol, the government announced on March 9 that the power ministry has directed NTPC to run its 5,000 MW-gas-based power stations during the crunch period in April-May. Another 4,000 MW of additional gas-based power capacity would be added by other entities (private and state governments) for availability during the summer months. Since gas-based power would also be actively used this time to meet the peak demand, GAIL has assured the ministry of power of gas supply during the summer months.

The power ministry in a statement said that an additional capacity of 2,920 MW would be available through new coal-based plants which would be commissioned by the end of this month. In addition, after direction from the Ministry, two units at Barauni (2X110MW) will be made available during crunch period, it said.

Besides, all hydro plants have been instructed to operate in consultation with regional/state load dispatch centers (RLDCs/ SLDCs) to optimise water utilisation in current month for better availability during the next month. India has an installed hydroelectric power capacity of 46,850 MW, which is about 11 percent of the country’s total installed capacity.

“The Union power ministry has devised a multi-pronged strategy to ensure adequate availability of power during the upcoming summer months. During the review meeting held on March 7, minister Singh asked power companies to ensure there is no load-shedding during the summer months. Singh asked all stakeholders to closely monitor the situation and take proactive actions to meet the electricity demand during the coming months. He also asked CEA to ensure that a fair and transparent mechanism is devised for allocation of coal to various States/UTs,” read the statement.

As part of the strategy, the power utilities have been directed to undertake maintenance for coal-based power plants well in advance so that no planned maintenance is required during the crunch period (April-May). Directions have already been issued under section-11 of the electricity Act to all imported coal-based plants to run at full capacity from March 16, 2023. Adequate coal stocks would be made available at the coal-based power plants, the minister said.

“During the meeting, member Railway Board Jaya Verma Sinha assured availability of enough rakes for transport of coal. The ministry of railways agreed to provide 418 rakes to different subsidiaries of CIL, GSS and captive blocks and also enhance the number of rakes in due course so that sufficient coal stock can be maintained at power plants,” it said.

After peaking in April-May, the demand, according to CEA, then tapers off as monsoon season picks up from the southern part of the country and covers the whole country over the next 3-4 months. With GDP growing at close to 7 percent, the power demand has been growing in the country at close to 10 percent per annum.

As per estimates, the energy demand is expected to be 1,42,097 MU during April, the highest in the year 2023 before reducing to 1,41,464 MU in May, and further declining continuously to 1,17,049 MU in November.

In the summer of 2022, a shortage of coal coupled with high power demand due to scorching temperatures led to a power crisis in the country.