India’s electricity sector has achieved a remarkable milestone as peak power demand is projected to soar to 242.49 gigawatts (GW) in the financial year 2026. This surge underscores the nation’s rapid economic growth and expanding energy needs. Even more impressively, the demand-supply gap has narrowed to an all-time low, signaling robust improvements in power infrastructure and generation capacity. Over the past decade, India has aggressively expanded its power generation portfolio. From coal-fired plants to massive renewable energy projects, the country has added thousands of megawatts to its grid. Solar and wind capacities have particularly exploded, with solar installations crossing 100 GW recently. This diversification has been key to meeting rising demand without major shortages. Experts attribute the shrinking gap to several factors, including government initiatives like the PM Suryaghar Yojana and higher efficiency in thermal power plants.
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