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BUSINESS

India’s peak power demand eases as monsoon rains reduce AC use

By IANS
June 18, 2026 2 Min Read

New Delhi, June 18 (IANS) India’s peak power demand witnessed a significant decrease, falling to 241 gigawatts (GW), down from 270.8 GW in May and below the 259 GW peak, as per data from the Grid Controller of India.

The power demand eased following seasonal rains that have dropped temperatures across parts of the country and curbed heavy use of air conditioners and other cooling appliances.

During solar hours on June 16, peak demand stood at 249.7 GW and at 247.5 GW during non‑solar hours, as per multiple reports.

Coal-fired generation accounted for 68 per cent of India’s electricity output while solar and hydro contributed 19 per cent and 7 per cent, respectively.

The moderation in demand has also pushed down electricity prices in the power market.

The average spot price on the Indian Energy Exchange in mid‑June was Rs 3.6 per kilowatt‑hour (kWh), down 18 per cent from prior year.

Real‑time market prices fell to Rs 4.5 per kWh on June 16 from Rs 6.5 per kWh on May 21, when power demand surged to record highs, according to exchange data.

India’s peak power demand on June 16, 2026 at 241 GW is higher than peak demand of 217 GW on the same day of 2025.

India’s electricity demand typically peaks during months of May and June due to summer heat as households and businesses increase cooling appliances use.

Annual monsoon usually curbs consumption by lowering temperatures and also increases hydropower generation in some regions.

India’s power sector is expected to benefit from Rs 65–70 capex opportunity, backed by strong policy support, a recent report said.

Rising electricity demand—potentially tripling—along with new-age consumption (EVs, data centers) adds durable visibility, the report added.

–IANS

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