India's gas based power generation capacity shrinks 20%, ahead of peak summer months
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India's gas-based power generation capacity trimmed by 20% or 5 gigawatts (GW) over the last 3 months, bringing it down to 20.13 GW in April. This drop comes even as the government prepares for a surge in electricity demand during the peak summer months.
The move appears at odds with a recent directive from the ministry of power, which urged power producers to ramp up unused gas-based generation to ensure stable electricity supply and grid security.
The ministry has been ramping up efforts to ensure undisrupted power supply and fulfil the peak power demand this summer, which is projected to hit a record 277 GW.
According to the
Central Electricity Authority
(CEA), India's total installed power generation capacity stood at 472.468 GW in April, with gas-based power accounting for just 20.13 GW.
This marks a steady decline from 24.53 GW in March and 25.18 GW in February.
The ministry is now invoking Section 11 of the Electricity Act 'to ensure maximum generation from gas-based power plants', especially during non-solar hours when the strain on the grid is expected to intensify.
'Based on the monthly demand assessment, GRID-lNDlA will inform the gas-based generating stations about the expected high demand and stress days in advance so that the Gencos can arrange for the natural gas as required,' the ministry said in its order.
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Officials pointed out that India's electricity demand has been rising consistently, fuelled by rapid economic growth and exacerbated during heatwaves. Peak demand had already hit a record 250 GW in May 2024. This year March and April saw levels of around 235 GW while February's peak stood at 238 GW.
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