Indias Residential Power Use Surges 10 Percent Annually Amid Heatwaves Urbanization
In India, residential power consumption has surged steadily by approximately 10 percent annually over the past three years, a trend primarily driven by rapid urbanization, intensifying heatwaves, and continuous population growth, according to experts. The residential sector alone now accounts for 31 percent of the country’s total electricity consumption, a significant portion. In 2024, air conditioner sales witnessed a dramatic 40 to 50 percent surge, directly reflecting the escalating demand for indoor cooling. Projections indicate India could add 10 to 15 million new air conditioners annually, with another 130 to 150 million expected within the next decade, potentially driving substantial peak power demand without robust policy intervention.
Analysis of national peak demand trends reveals consistent year-on-year growth, with recent months experiencing record-high monthly peaks. May and June consistently exhibit the highest electricity demand, largely attributable to extreme summer temperatures increasing cooling loads across the country. The northern region, encompassing major states like Uttar Pradesh, Delhi, Punjab, Haryana, and Rajasthan, is particularly sensitive to temperature shifts, accounting for over 30 percent of India’s peak electricity demand. Delhi’s power consumption, for instance, closely mirrors temperature trends, with demand climbing from 5,956 MW to over 8,000 MW in June as temperatures rose.
Currently, coal continues to dominate India’s electricity generation, supplying nearly 73 percent of the daily power, playing a crucial role in meeting evening demand when solar availability drops. Solar energy contributes around 9.5 percent of daily generation, peaking during daytime hours and assisting with cooling needs. Wind and hydropower collectively add approximately 11 percent, providing vital support during morning and evening transitions. Experts highlight two key takeaways from these patterns: the opportunity to maximize solar power utilization during daytime peaks and the urgent necessity for energy storage solutions, demand-side management, and hybrid renewable projects to effectively meet the escalating evening electricity requirements.
The escalating residential power demand highlights the critical need for a diversified, resilient energy mix and smart grid solutions. Investing in renewable energy, energy storage, and demand-side management is essential for sustainable development. This shift will mitigate climate impacts, ensure reliable power access, and support India’s growing urban centers efficiently, fostering a greener future.
