Power distribution companies must strengthen their infrastructure for reliable supply of energy.
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Though parts of India may have seen a wetter April and May this year, rising heat remains a concern. The India Meteorological Department (IMD) recently warned of heatwave conditions in parts of Rajasthan and Haryana, and above-normal maximum temperatures across most parts of the country. Moreover, 57% of India’s districts now face “high” to “very high” heat risk, according to a new study by the Council on Energy, Environment and Water (CEEW). This puts a significant strain on lives, livelihoods, and the power grids of a growing economy. Summer is a period of high electricity bills and cooling requirements, with peak demand growing higher each year.
In April, India’s peak electricity demand was 5% higher than last year’s, with total consumption rising by 2%. Space cooling — one of the fastest-growing uses of electricity — is a key contributor to the rise. While the IMD has forecast a cooler May than initially estimated, many regions of the country are still expected to face above-normal heatwave days and hotter nights. So, how can we ensure that electricity remains reliable during rising heat stress? Immediate and long-term measures are needed across the electricity value chain.
Cutting emissions
First, India must break the vicious cycle of higher carbon emissions from electricity generation, leading to warming. This can be done through a higher renewables target. According to the International Energy Agency (IEA), cooling accounted for 15% of the global increase in energy demand in 2024, and half the additional energy-related emissions, as coal and gas stepped in to meet the surge. India added 5.6 GW of coal power capacity and nearly 28 GW of solar and wind energy in 2024.
A recent analysis by the CEEW shows that renewables paired with energy storage can reliably meet demand, if India’s electricity needs are higher than expected in 2030. A higher renewable energy pathway could save ₹42,400 crore ($5 billion) in power procurement costs, create one lakh new jobs, and cut air pollutants by 23% in this period. The Union and State government agencies must work together to ensure that land, supply chain, and connectivity challenges to clean energy are addressed. The States such as Maharashtra are leading in making clean energy integration more reliable, for example, by tendering 250 MW of battery capacity.
Second, distribution companies (discoms) must strengthen their infrastructure for reliable supply of energy. While energy-intensive appliances such as air conditioners and refrigerators are plug-and-play, upgrading power supply infrastructure takes time. The national average distribution transformer failure rate rose from 5.8% in financial year 2022-23 to 6.4% in 2023-24, and the lead time for replacing failed transformers and wires can result in power cuts. Consumers must check if getting more appliances requires their discom to increase the maximum allowed load for their premises. This will help discoms ensure timely upgrades to the upstream electricity network.
Discoms can also actively manage demand to improve supply reliability with existing infrastructure. In Delhi and Mumbai, pilots using smart electricity meters and plugs have shown that voluntary or automated demand management can cut household-level peak load by around 15%, primarily by managing AC use. City governments should work with discoms as part of their heat action plans to implement such active demand management programmes during heatwaves. Further, time-of-day (ToD) electricity tariffs can help by giving people incentives to consume energy during hours when the grid is under lower stress, such as in the solar hours. For example, Gujarat recently introduced a 60 paise per unit rebate for power used between 11 a.m. and 3 p.m. by consumers through smart prepaid meters. Some States such as Andhra Pradesh have ToD tariffs that incentivise consumers to shift electricity use based on seasonal grid conditions. Over 2.7 crore consumers now have smart meters installed in India, making active demand management possible at scale.
Finally, consumers must manage electricity consumption by choosing energy-efficient appliances and making suitable changes to their built environment. The Bureau of Energy Efficiency estimates that energy demand would have been 5.6% higher in 2022-23 without India’s push for efficient, star-rated appliances. Applying white or light-coloured cement, paint or tiles to exposed rooftops — especially on top-floor apartments and barsatis — can reduce indoor heat transmission by two-thirds and lower indoor temperatures by up to 2 degrees Celsius. This can delay AC use during warmer outdoor temperatures and reduce compressor effort to maintain indoor temperatures. Together, these changes could reduce household energy use in India by around 25%. The Telangana Cool Roof Policy, 2023 exemplifies such an effort at scale. It targets at least 300 square kilometres of cool roof coverage by 2028, including 200 square kilometres in Hyderabad alone, with adoption mandated for all government, commercial, and non-residential buildings.
AC or cooler ownership among households will only grow from the current levels of 30% as we try to avoid heat-related losses. While summer brings immense heat stress, let the crisis do not go to waste. Use the time to better understand our power system and develop strategies for the future. This might be the coolest year of the rest of our lives.
(Dhruvak Aggarwal is Programme Lead and Shalu Agrawal is Director of Programmes at the Council on Energy, Environment and Water (CEEW). Views are personal.)
Published – May 22, 2025 12:22 am IST