Industrial & Commercial Activities Restoration Increases India's Power Consumption by 13.38%

The revival of industrial and commercial activities has increased the power consumption in India by 13.38 percent making it 110.94 billion units (BU) in October this year. According to the data shared by the power ministry, the country’s electric consumption has been recorded at 97.84 BU in October.

Although the experts were certain that the power consumption would double up in October on the basis of the extrapolation of half month data, the power consumption had raised 11.45 percent to 55.37 BU in the first half of October, against 49.67 BU, in the corresponding period a year ago.

This plunge in October’s power consumption indicates that the commercial and industrial demand has perked up as the nationwide lockdown is relaxing gradually. The growth is further expected to enhance in the forthcoming months. The power consumption started declining from March after the government imposed a strict lockdown all over the country to contain the COVID-19 spread which indeed curbed various economic activities throughout India.

The power consumption on a year-on-year basis declined by 8.7 percent in March, 23.2 percent in April, 14.9 percent in May, 10.9 percent in June, 3.7 percent in July, and 1.7 percent in August. The power consumption data shows that electricity consumption has grown by 11.23 percent in February. However, after easing the lockdown post on April 20, the power consumption has witnessed slight improvement.
Post the six months gap, the power consumption has registered a growth of 4.6 percent in September this year by raising from 112.43 BU from 107.51 BU in the same month last year.

However, the country had met its peak power demand with the highest supply of power in the country in a day in October that was recorded to be 170.04 GW which is 3.52 percent higher than 164.25 GW in the same month last year. Alongside, the peak power demand in September this year has recorded an increase of 1.8 percent at 176.56 GW, as compared to 173.45 GW a year ago, the data reveals.

Thus, the peak power demand met had recorded negative growth from April to August this year due to the pandemic. The peak demand met declined to 24.9 percent in April, 8.9 percent in May, 9.6 percent in June, 2.7 percent in July, and 5.6 percent in August. In March, it was reduced to 0.8 percent.