Report calls for immediate action on Indian power deficit

By Industrial Info Resources


CSA Z463 Electrical Maintenance

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 6 hours Instructor-led
  • Group Training Available
Regular Price:
$249
Coupon Price:
$199
Reserve Your Seat Today
A study conducted by the Federation of Indian Chambers of Commerce and Industry and the Credit Rating Information Services of India Limited, indicates that India's power requirement will increase dramatically, with an additional need of 161 gigawatts (GW) according to the Eleventh Five-Year Plan (2007-12) and the Twelfth Five-Year Plan (2012-17).

The report, covering the country's power capacity and requirements, manpower needs, power deficit and economic impact, was presented at the recently held India Electricity 2008 in New Delhi.

Data from July 2008 by the Ministry of Power show that India's total installed capacity for power generation is 145.58 GW. India's government has allocated $95 billion to meet the increased demand and to achieve the new power generation targets.

The study gave credit to the Electricity Act of 2003 for transforming the country's power sector. With the implementation of the act, many private players have shown interest in investing in the sector. Private-sector investments could prove to be a boon for meeting increasing power generation requirements.

The report dissuaded the Indian government from relying completely on conventional fuel sources like coal and emphasized the need to extend focus to alternate energy sources like gas and hydropower. A holistic approach toward effective coal mining in India was also recommended.

Though a lot of political, media and public attention in India has been focused on the Section 123 Agreement on nuclear deals, the study did not delve much on nuclear power, which could revolutionize the power sector in the country. It also noted that power distribution was not given its due importance and has recommended that the government renew focus in this area.

The report validated the proposed government investment of $66 billion in this area during the Eleventh Five-Year Plan and also expressed hopes that the Accelerated Power Development and Reform Program that was restructured to provide distribution to the National Thermal Power Corporation will usher in positive results. Power will be distributed to towns and cities in India with a population of more 30,000 with the aid of the latest IT-enabled applications to minimize distribution losses.

The study also highlights the stark realities of India's power industry — target slippages and power deficit. While there have been ambitious plans to increase generation capacity during the Eleventh and Twelfth Five-Year Plans, the target slippage in the Tenth Five-Year Plan (2002-07) alone has been around 40 GW.

The report identified the inadequate policy and regulatory framework as one of the primary causes. On a more positive note, the study recognized the implementation of the Electricity Act 2003 and its regulations as being instrumental in overcoming these slippages.

The infrastructure advisory study recommends that the Indian government takes immediate and concrete steps to reduce the gaps in the power deficit. A prolonged power deficit would lead to severe economic slowdown and hold long-term repercussions for the Indian economy, the study states. The current electricity demand deficit of 12%-13% and shortage of 6%-8% could be a huge deterrent to India's economic growth and ambitions of being a superpower.

With the Ministry of Power announcing the "Mission 2012: Power for All" plan and the ongoing rural electrification scheme in India, meeting the electricity demands has become not just an economic necessity but has a social facet, as well. To bring about this transformation, it is not just the generation, transmission and distribution channels that need to be revitalized but also the other supporting entities like resources, manpower and technology.

The study states that to make India self-sufficient in the power sector, the industry would require an additional 2 million people in skilled labor during the Eleventh and Twelfth Five-Year Plans. It also emphasized the need to develop more industrial training institutes to provide training in areas of power generation and management and also impart specific IT training.

The study is bullish on private sector investments in India's power industry. With huge investments required for immediate turnaround, private investments — both domestic and international — will play a very significant role. India is poised for huge economic growth and the power industry can most definitely accelerate this development.

Related News

New clean energy investment in developing nations slipped sharply last year: report

Developing Countries Clean Energy investment fell as renewable energy financing slowed in China; solar and wind growth lagged while coal power hit new highs, raising emissions risks for emerging markets and complicating climate change goals.

 

Key Points

Renewables investment and power trends in emerging nations: solar, wind, coal shifts, and steps toward decarbonization.

✅ Investment fell to $133b; China dropped to $86b

✅ Coal power rose to 6,900 TWh; 47% generation share

✅ New coal builds declined to 39 GW, decade low

 

New clean energy investment slid by more than a fifth in developing countries last year due to a slowdown in China, while the amount of coal-fired power generation jumped to a new high, reflecting global power demand trends, a recent annual survey showed.

Bloomberg New Energy Finance (BNEF) surveyed 104 emerging markets and found that developing nations were moving towards cleaner, low-emissions sources in many regions, but not fast enough to limit carbon dioxide emissions or the effects of climate change.

New investment in wind, solar and other clean energy projects dropped to $133 billion last year from $169 billion a year earlier, mainly due to a slump in Chinese investment, even as electricity investment globally surpasses oil and gas for the first time, the research showed.

China’s clean energy investment fell to $86 billion from $122 billion a year earlier, with dynamics in China's electricity sector also in focus. Investment by India and Brazil also declined, mainly due to lower costs for solar and wind.

However, the volume of coal-fired power generation produced and consumed in developing countries increased to a new high of 6,900 terrawatt hours (TWh) last year, even as renewables are poised to eclipse coal globally, from 6,400 TWh in 2017.

The increase of 500 TWh is equivalent to the power consumed in the U.S. state of Texas in one year, underscoring how surging electricity demand is putting power systems under strain. Coal accounted for 47% of all power generation across the 104 countries.

“The transition from coal toward cleaner sources in developing nations is underway,” said Ethan Zindler, head of Americas at BNEF. “But like trying to turn a massive oil tanker, it takes time.”

Despite the spike in coal-fired generation, the amount of new coal capacity which was added to the grid in developing countries declined, with Europe's renewables crowding out gas offering a contrasting pathway. New construction of coal plants fell to its lowest level in a decade last year of 39 gigawatts (GW).

The report comes a week ahead of United Nations climate talks in Madrid, Spain, where more than 190 countries will flesh out the details of an accord to limit global warming.

 

Related News

View more

Europe's Thirst for Electricity Spurs Nordic Grid Blockade

Nordic Power Grid Dispute highlights cross-border interconnector congestion, curtailed exports and imports, hydropower priorities, winter demand spikes, rising spot prices, and transmission grid security amid decarbonization efforts across Sweden, Norway, Finland, and Denmark.

 

Key Points

A clash over interconnectors and capacity cuts reshaping trade, prices, and reliability in the Nordic power market.

✅ Sweden cuts interconnector capacity to protect grid stability

✅ Norway prioritizes higher-priced exports via new cables

✅ Finland and Denmark seek EU action on capacity curtailments

 

A spat over electricity supplies is heating up in northern Europe. Sweden is blocking Norway from using its grids to transfer power from producers throughout the region. That’s angered Norway, which in turn has cut flows to its Nordic neighbor.

The dispute has built up around the use of cross-border power cables, which are a key part of Europe’s plans to decarbonize since they give adjacent countries access to low-carbon resources such as wind or hydropower. The electricity flows to wherever prices are higher, informed by how electricity is priced across Europe, without interference from grid operators -- but in the event of a supply squeeze, flows can be stopped.

Sweden moved to safeguard the security of its grid after Norway started increasing electricity exports through huge new cables to Germany and the U.K. Those exports at times have drawn energy away from Sweden, resulting in the country’s system operator cutting capacity at its Nordic borders, preventing exports but also hindering imports, which it relies on to handle demand spikes during winter.

“This is not a good situation in the long run,” Christian Holtz, a energy market consultant for Merlin & Metis AB.

Norway hit back last week by cutting flows to Sweden, this will prioritize better paying customers in Europe, amid Irish price spikes that highlight dispatchable shortages, giving them access to its vast hydro resources at the expense of its Nordic neighbors. 

By partially closing its borders Sweden can’t access imports either, which it relies on to handle demand spikes during the coldest days of the winter. 

In Denmark, unusual summer and autumn winds have at times delivered extraordinarily low electricity prices that ripple through regional markets.

The Swedish grid manager Svenska Kraftnat has reduced export capacity at cables across its borders by as much as half this year to keep operations secure. Finland and Denmark rely on imports too and the cuts will come at a cost for millions of homes and industries across the four nations already contending with record electricity rates this year. 

Finland and Denmark want the European Union to end the exemption to regulations that make such reductions possible in the first place, as Europe is losing nuclear power and facing tighter supply.

“Imports from our neighboring countries ensure adequacy at times of peak consumption,” said Reima Paivinen, head of operation at the Finland’s Fingrid. “The recent surge in electricity prices throughout Europe does not directly affect the adequacy of electricity, but prices may rise dramatically for short periods.”

Svenska Kraftnat says it’s not political -- it has no choice but to cut capacity until its old grids are expanded to handle the new direction of flows, a challenge mirrored by grid expansion woes in Germany that slow integration. That could take at least until 2030 to complete, it said earlier this year. At the same time, Norway halving available export capacity to about 1,200 megawatts will increase risk of shortages. 

“If we need more we will have to count on imports from other countries,” said Erik Ek, head of strategic operation at Svenska Kraftnat. “If that is not available, we will have to disconnect users the day it gets cold.”

 

Related News

View more

Seattle Apartment Fire Caused by Overheated Power Strip

Seattle Capitol Hill Apartment Fire highlights an electrical fire from an overheated power strip, a two-alarm response by 70 firefighters, safe evacuation, displaced resident aid, and prevention tips like smoke detectors and load limits.

 

Key Points

Two-alarm early-morning blaze in Seattle traced to an overheated power strip, displacing one resident and injuring none.

✅ Origin: overheated power strip ignited nearby combustibles

✅ Response: 70 firefighters, two-alarm, rapid containment

✅ Safety: avoid overloads; inspect cords; use smoke detectors

 

An early-morning fire in Seattle’s Capitol Hill neighborhood severely damaged a three-story apartment building, displacing one resident. The blaze, which broke out around 4:34 a.m. on a Friday, drew more than 70 firefighters to the scene, as other critical sectors have implemented on-site staffing during outbreaks to maintain operations, and was later traced to an overheated power strip.

The Fire Incident

The Seattle Fire Department responded to the fire, which had started on the second floor of the building in the 1800 block of 12th Avenue. Upon arrival, crews were met with heavy smoke and flames coming from one unit. The fire quickly spread to a unit on the third floor, prompting the Seattle Fire Department to escalate their response to a two-alarm fire due to its size and the potential threat to nearby structures.

Firefighters initially attempted to contain the blaze from the exterior before they moved inside the building to fully extinguish the fire. Thankfully, the fire was contained to the two affected units, preventing the destruction of the remaining seven apartments in the building.

All residents safely evacuated the building on their own. Despite the substantial damage to the two apartments, no injuries were reported. One resident was displaced by the fire and was assisted by the Red Cross in finding temporary accommodation.

Cause of the Fire

Investigators later determined that the fire was accidental, most likely caused by an overheated electrical power strip. The power strip had reportedly ignited nearby combustible materials, sparking the flames that quickly spread throughout the unit. Although the exact details are still under investigation, the fire serves as a stark reminder of the potential risks associated with overloaded or damaged electrical equipment and how electrical safety knowledge gaps can contribute to incidents.

The Risks of Power Strips

Power strips, while essential for providing multiple outlets, can pose a serious fire hazard if used improperly, and specialized arc flash training in Vancouver underscores the importance of understanding electrical hazards across settings.

This fire in Seattle highlights the importance of maintaining electrical devices and following proper usage guidelines. According to experts, it is crucial to regularly inspect power strips for any visible damage, such as frayed cords or scorch marks, and to replace them if necessary. It's also advisable to avoid using power strips with high-power appliances like space heaters, microwaves, or refrigerators.

Impact and Community Response

The fire has raised awareness about the dangers of electrical hazards in residential buildings, especially in older apartment complexes where wiring systems may not be up to modern standards. Local authorities and fire safety experts are urging residents to review safety guidelines and ensure that their living spaces are free from potential fire hazards and to avoid dangerous stunts at dams and towers that can lead to serious injuries.

Seattle's fire department, which responded to this incident, continues to emphasize fire prevention and safety education. This event also highlights the importance of having working smoke detectors and clear escape routes in apartment buildings, and ongoing fire alarm training can improve system reliability. The Seattle Fire Department recommends that all tenants know the locations of fire exits and practice safe evacuation procedures, especially in high-rise or multi-unit buildings.

Additionally, the Red Cross has stepped in to assist the displaced resident. The organization provides temporary shelter, food, and financial aid for those affected by disasters like fires. The fire underscores the importance of having emergency preparedness plans in place and the need for immediate relief for those who lose their homes in such incidents.

The Seattle apartment fire, which displaced one resident and caused significant damage to two units, serves as a reminder of the potential dangers associated with improperly maintained or overloaded electrical devices, especially power strips, and how industry recognition, such as a utility safety award, reinforces best practices. While the cause of this fire was linked to an overheated power strip, it could have easily been prevented with regular inspections and safer practices.

As fire departments continue to respond to similar incidents, it is critical for residents to stay informed about fire safety, particularly regarding electrical equipment and outdoor hazards like safety near downed power lines in storm conditions. Awareness, proper maintenance, and following safety protocols can significantly reduce the risk of electrical fires and help protect residents from harm.

 

Related News

View more

Hydro One bends to government demands, caps CEO pay at $1.5M

Hydro One CEO Pay Cap sets executive compensation at $1.5 million under Ontario's provincial directive, linking incentives to transmission and distribution cost reductions, governance improvements, and board pay limits at the electricity utility.

 

Key Points

The Hydro One CEO Pay Cap limits pay to $1.5M, linking incentives to cost reductions and defined targets.

✅ Base salary set at $500,000 per year.

✅ Incentives capped at $1,000,000, tied to cost cuts.

✅ Board pay capped: chair $120,000; members $80,000.

 

Hydro One has agreed to cap the annual compensation of its chief executive at $1.5 million, the provincial utility said Friday, acquiescing to the demands of the Progressive Conservative government.

The CEO's base salary will be set at $500,000 per year, while short-term and long-term incentives are limited to $1 million. Performance targets under the pay plan will include the CEO's contributions to reductions in transmission and distribution costs, even as Hydro One has pursued a bill redesign to clarify charges for customers.

The framework represents a notable political victory for Premier Doug Ford, who vowed to fire Hydro One's CEO and board during the campaign and promised to reduce the annual earnings of Hydro One's board members.

In February, the province issued a directive to the board, ordering it to pay the utility's CEO no more than the $1.5 million figure it has now agreed to, as part of a broader push to lower electricity rates across Ontario.

Hydro One and the government had been at loggerheads over executive compensation, with the company refusing repeated requests to slash the CEO pay below $2,775,000. The board argued it would have difficulty recruiting suitable leaders for anything less, even as customers contend with a recovery rate that could raise hydro bills.

Further, the company agreed to pay the board chair no more than $120,000 annually and board members no more than $80,000 — figures Energy Minister Greg Rickford had outlined in his directive last month, amid calls for cleaning up Ontario's hydro mess from policy commentators.

"Hydro One's compliance with this directive allows us to move forward as a province. It sets the company on the right course for the future, proving that it can operate as a top-class electricity utility while reining in executive compensation and increasing public transparency," Rickford said in a statement issued Friday morning.

 

Related News

View more

FPL Proposes Significant Rate Hikes Over Four Years

FPL Rate Increase Proposal 2026-2029 outlines $9B base-rate hikes as Florida grows, citing residential demand, grid infrastructure investments, energy mix diversification, and Florida PSC review impacting customer bills, reliability, and fuel price volatility mitigation.

 

Key Points

A $9B base-rate plan FPL filed with the Florida PSC to fund growth, grid upgrades, and energy diversification through 2029.

✅ Adds 275k since 2021; +335k customers projected by 2029.

✅ Monthly bills rise to about $157 by 2029, up ~22% total.

✅ Investments in poles, wires, transformers, substations, renewables.

 

Florida Power & Light (FPL), the state's largest utility provider, has submitted a proposal to the Florida Public Service Commission (PSC) seeking a substantial increase in customer base rates over the next four years, amid ongoing scrutiny, including a recent hurricane surcharge controversy that heightened public attention.

Rationale Behind the Rate Increase

FPL's request is primarily influenced by Florida's robust population growth. Since 2021, the utility has added about 275,000 customers and projects an additional 335,000 by the end of 2029. This surge necessitates significant investments in transmission and distribution infrastructure, including poles, wires, transformers, and substations, to maintain reliable service. Moreover, FPL aims to diversify its energy mix to shield customers from fuel price volatility, even as the state declined federal solar incentives that could influence renewable adoption, ensuring a stable and sustainable power supply.

Impact on Customer Bills

If approved, the proposed rate increases would affect residential customers as follows:

  • 2026: An estimated increase of $11.52 per month, raising the typical bill to $145.66.

  • 2027: An additional $6.05 per month, bringing the bill to $151.71.

  • 2028: A further increase of $3.64 per month, totaling $155.35.

  • 2029: An extra $2.06 per month, resulting in a final bill of $157.41.

These adjustments represent a cumulative increase of approximately 22% over the four-year period, while in other regions some customers face sharper spikes, such as Pennsylvania's winter price increases this season.

Comparison with Previous Rate Hikes

This proposal follows a series of rate increases approved in recent years, as California electricity bills have soared and prompted calls for action in that state. For instance, Tampa Electric Co. (TECO) received approval for rate hikes totaling $287.9 million in 2025, with additional increases planned for 2026 and 2027. Consumer groups have expressed intentions to challenge these rate hikes, indicating a trend of growing scrutiny over utility rate adjustments.

Regulatory Review Process

The PSC is scheduled to review FPL's rate increase proposal in the coming months. A staff recommendation is expected by March 14, 2025, with a final decision anticipated at a commission conference on March 20, 2025. This process allows for public input and thorough evaluation of the proposed rate changes, while elsewhere some utilities anticipate stabilization, such as PG&E's 2025 outlook in California.

Customer and Consumer Advocacy Responses

The proposed rate hikes have elicited concerns from consumer advocacy groups. Organizations like Food & Water Watch have criticized the scale of the increase, labeling it as the largest rate hike request in U.S. history, amid mixed signals such as Gulf Power's one-time 40% bill decrease earlier this year. They argue that such substantial increases could place undue financial strain on households, especially those with fixed incomes.

Additionally, the Florida Public Service Commission has faced challenges in approving rate hikes for other utilities, such as TECO, and a recent Florida court decision on electricity monopolies that may influence the policy landscape, with consumer groups planning to appeal these decisions. This backdrop of heightened scrutiny suggests that FPL's proposal will undergo rigorous examination.

As Florida continues to experience rapid growth, balancing the need for infrastructure development and reliable energy services with the financial impact on consumers remains a critical challenge. The PSC's forthcoming decisions will play a pivotal role in shaping the state's energy landscape, influencing both the economy and the daily lives of Floridians.

 

Related News

View more

San Diego Gas & Electric Orders Mitsubishi Power Emerald Storage Solution

SDG&E Mitsubishi Power Energy Storage adds a 10 MW/60 MWh BESS in Pala, boosting grid reliability, renewable integration, and flexibility with EMS and SCADA controls, LFP safety chemistry, NERC CIP compliance, UL 9540 standards.

 

Key Points

A 10 MW/60 MWh BESS for SDG&E in Pala that enhances grid reliability, renewables usage, and operational flexibility.

✅ Emerald EMS/SCADA meets NERC CIP, IEC/ISA 62443, NIST 800-53

✅ LFP chemistry with UL 9540 and UL 9540A safety compliance

✅ Adds capacity, energy, and ancillary services to CA grid

 

San Diego Gas & Electric Company (SDG&E), a regulated public utility that provides energy service to 3.7 million people, has awarded Mitsubishi Power an order for a 10 megawatt (MW) / 60 megawatt-hour (MWh) energy storage solution for its Pala-Gomez Creek Energy Storage Project in Pala, California. The battery energy storage system (BESS) will add capacity to help meet high energy demand, support grid reliability and operational flexibility, underscoring the broader benefits of energy storage now recognized by utilities, maximize use of renewable energy, and help prevent outages during peak demand.

The BESS project is Mitsubishi Power’s eighth in California, bringing total capacity to 280 MW / 1,140 MWh of storage to help meet California’s clean energy goals with reliable power to complement renewables, alongside emerging solutions like a California green hydrogen microgrid for added resilience.

Mitsubishi Power’s Emerald storage solution for SDG&E includes full turnkey design, engineering, procurement, and construction, as well as a 10-year long-term service agreement, aligning with CEC long-duration storage funding initiatives underway. It is scheduled to be online in early 2023.

The project will repower an existing energy storage site. It will employ Mitsubishi Power’s Emerald Integrated Plant Controller, which is an Energy Management System (EMS) and Supervisory Control and Data Acquisition (SCADA) system with real-time BESS operation and a monitoring/supervisory control platform. Mitsubishi Power leverages its decades of technology monitoring and diagnostics to turn data into actionable insights to maximize reliability, a priority as regions like Ontario increasingly rely on battery storage to meet rising demand. The Mitsubishi Power Emerald Integrated Plant Controller complies with North American Electric Reliability Corporation critical infrastructure protection (NERC CIP) standards and meets the highest security certification in the energy storage industry (IEC/ISA 62443, NIST 800-53) for maximum protection from cybersecurity risks and vulnerabilities.

For added physical safety, Mitsubishi Power’s solution employs lithium iron phosphate (LFP) battery chemistry, aligning with BESS adoption in New York where safety and performance are critical. Compared with other chemistries, LFP provides longer life and superior thermal stability and chemical stability, while meeting UL 9540 and UL 9540A safety standards.

Fernando Valero, Director, Advanced Clean Technology, SDG&E, said, “SDG&E is committed to achieving net-zero greenhouse gas emissions by 2045. We are increasing our portfolio of energy storage assets, including virtual power plant models, to reach this goal. These assets enhance grid reliability and operational flexibility while maximizing our use of abundant renewable energy sources in California.”

Tom Cornell, Senior Vice President, Energy Storage Solutions, Mitsubishi Power Americas, said, “As more and more renewables come online during the energy transition, BESS solutions are essential to support a reliable and stable grid. We look forward to providing SDG&E with our BESS solution to add capacity, energy, and ancillary services to California’s grid. Mitsubishi Power’s Emerald storage solutions are enabling a smarter and more resilient energy future for our customers in California and around the globe, with projects like an energy storage demonstration in India underscoring this momentum.”

 

Related News

View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Download the 2025 Electrical Training Catalog

Explore 50+ live, expert-led electrical training courses –

  • Interactive
  • Flexible
  • CEU-cerified