FY26 Peak Power Need: 242 GW with Unprecedented Supply-Demand Balance

India’s power landscape is transforming dramatically, with peak demand expected to reach 242.49 GW in FY26. The demand-supply mismatch, once a chronic issue, now stands at a historic nadir, thanks to visionary reforms and infrastructure leaps. This projection from official sources paints a picture of resilience. Economic rebound post-pandemic, coupled with data center booms and metro expansions, propels consumption. Residential demand spikes from appliances and cooling needs add to the mix, pushing totals higher than FY25’s 235 GW mark. On the supply front, India’s installed capacity nears 450 GW, with renewables leading the charge. Massive auctions have locked in 50 GW of solar-wind in recent years. The gap’s contraction stems from holistic measures like the ‘One Nation One Grid’ initiative, enabling power flows across states.