INDUSTRY OVERVIEW

When it comes to infrastructure, power is the most important factor. It is a critical component of the
economy's growth and the nation's well-being. India's power sector is diverse. The demand for
electricity is fast expanding and is likely to continue to rise in the future, necessitating huge additions
to the existing generating capacity.
Sources of power generation in India –
Conventional sources
 Coal
 Lignite
 Natural gas
 Oil
 Hydro
 Nuclear power
Non-conventional sources
 Wind
 Solar
 Agricultural
 Domestic waste
The overall consumption of electricity and generation was facing a decline during the period of April-
May’21 because of the reimposition of pandemic restrictions but the overall performance was better
than that of April-May’20. The prevalent low demand for electricity also pulled the prices down in
the short-term electricity market.

Energy Supply Position

140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
2 2 22 21 21 t-21 21 21 l-21 21 21 r-21 r-21
-2 -2 n- c- v- p- g- n- y-
a r F eb J a De o Oc
S e u J u J u a Ap a
M N A M M

energy required energy supplied

The demand of electricity in India is increasing and with the increase in demand of power, the supply
also tends to be increasing.
 ENERGY GENERATION DISTRIBUTION IN INDIA

350000

300000

250000

200000

150000

100000

50000

0
1st QTR 2nd QTR 3rd QTR 4th QTR

THERMAL NUCLEAR
HYDRO IMPORT FROM BHUTAN

For the year 2020-2021, power generation in India is mainly based on thermal energy as we can see
from the chart. The thermal energy generation segment has a vast break up.

350000

300000

250000

200000

150000

100000

50000

0
COAL LIGNITE NATURAL DIESEL HIGH SPEED NAPTHA
GAS DIESEL

1st QTR 2nd QTR 3rd QTR 4th QTR

Thermal energy generation is mainly from coal, which showed a significant decrease after thee first
quarter and then there was a gradual increase in the generation with subsequent quarters.
In May of this year, India's power generation fell for the second month in a row, with lower output
from thermal sources, such as coal power, considerably outweighing higher generation from
renewable sources. According to preliminary data, power generation on May 21 was 118 billion units
(BU), down 7% from April 21 (127 BU).
It's the lowest it's been in three months. It was, however, 7% higher than the electricity generation
in May of this year, which was the period of the strike nationwide blackout during which power use
and generation both fell.

For the power generation for the current prevailing year is as shown. There is a subsequent increase
in all India power generation.

All India power generation

Nov-2021 Dec-2021 Jan-2022
120.00

100.00

80.00

60.00

40.00

20.00

0.00
Thermal Nuclear Hydro BHUTAN IMP Total Power
Generation