India is the third largest producer and consumer of electricity globally. As of 2019, India's total installed electricity generation capacity was 362.12 GW, with renewable sources like hydro and other clean energy accounting for 34.86% of total capacity. In 2018-19, India generated a total of 1,547 TWh of electricity while per capita electricity consumption was 1,181 kWh, lower than many other countries despite low electricity tariffs in India. While electricity generation exceeds demand, distribution infrastructure is inadequate. To address this, the government launched the "Power for All" program in 2016 to ensure uninterrupted power supply nationwide by improving infrastructure connectivity. Currently, fossil fuels like coal dominate India's electricity sector, accounting for around 75

2. India is the world's third largest producer and third largest consumer of electricity. The national electric
grid in India has an installed capacity of 362.12 GW as of 30 September 2019.Renewable power plants, which also
include large hydroelectric plants, constitute 34.86% of India's total installed capacity. During the 2018-19 fiscal year,
the gross electricity generated by utilities in India was 1,372 TWh and the total electricity generation (utilities and non
utilities) in the country was 1,547 TWh.The gross electricity consumption in 2018-19 was 1,181 kWh per capita. In
2015-16, electric energy consumption in agriculture was recorded as being the highest (17.89%) worldwide.The per
capita electricity consumption is low compared to most other countries despite India having a low electricity tariff.
India has a surplus power generation capacity but lacks adequate distribution infrastructure. To address this,
the Government of India launched a program called "Power for All" in 2016. The program accomplished by December
2018 in providing the necessary infrastructure to ensure uninterrupted electricity supply to all households, industries,
and commercial establishments. Funding is supplied through a collaboration between the Government of India and its
constituent states.[11][12]
India's electricity sector is dominated by fossil fuels, in particular coal, which during the 2018-19 fiscal year produced
about three-quarters of the country's electricity. The government is making efforts to increase investment in
renewable energy. The government's National Electricity Plan of 2018 states that the country does not need more non-
renewable power plants in the utility sector until 2027, with the commissioning of 50,025 MW coal-based power plants
under construction and addition of 275,000 MW total renewable power capacity after the retirement of nearly 48,000
MW old coal-fired plants

3. Q1).What are the factors responsible for excess demand
for electricity?
A).Economic growth
High economic activity creates demand for electricity consumption. An economic contraction affects
consumption negatively. Commercial and industrial demand for electricity increases in a growing economy.
B).Housing and population growth
Housing growth means that there are a higher number of residential connections for the industry. This
increases the need for electricity.
C).Income growth
The most important factor that affects electricity demand is household income. As income increased, so did the
demand for larger homes and new appliances.This increased the demand for electricity.
D). Weather
Higher variations in temperature mean higher electricity consumption. More electricity is to heat and
cool buildings. As a result, weather plays an important role in electricity demand. Consumers’ electricity bills
can increase during a year that experiences extreme weather conditions.

4. 2).THE DEMAND SUPPLY GAP IS REFOMED BY THE GOVERNMENT INTERVENTION.EXPLAIN THIS
PHENOMENON BY A DEMAND SUPPLY MODEL.
The energy requirement and peak demand of the
State in FY17 were 1,07,448 MU and 17,183 MW
respectively, in comparison to which energy supplied
and demand met were 1,05,631 MU and 15,501 MW
respectively. With complete electrification as well as
24x7 power supply envisaged across the State,
demand is likely to increase.
Accordingly, the demand is estimated after
considering the phased implementation of
electrification levels as well providing 24-hour supply
of power to the existing and newly electrified
consumers by 2019. The state also plans to have a 10-
hour supply schedule to all the agricultural
consumers,
whose connections have been segregated under the
ongoing feeder-segregation works. Demand can be
classified into following broad categories:
a) Demand on account of 24x7 power supply to
electrified and newly built domestic households
b) Demand from the electrification of un-electrified
domestic households
c) Change in demand on account of metering of
existing unmetered consumers
d) Change in demand on account of formalisation of
connections where infrastructure is created
e) Change in demand on account of the ongoing
feeder-segregation activities with a 10-hour
supply to segregated consumers
f) Demand on account of 24x7 power supply to
other than domestic category

5. Current power supply position
The actual energy and demand scenario during the
past eight years is shown below:
Demand has been steadily increasing over the years.
Indeed, the supply hours have increased considerably,
from October 2016, as shown in the table below:
Table 2: Average number of supply hours for FY17 (as on
date)
21.12%
%3.70 %2.25
%13.57
5.82%
17.02%
%14.63
%9.79
%0.00
%5.00
%10.00
%15.00
%20.00
25.00%
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
20000
FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17
Peak Demand (MW) Peak Met (MW)
Peak Surplus/ Deficit (%)
Description
Avg number of supply
hours
Rural 18 Hours
Tehsil towns and Bundelkhand 20 Hours
District HQ and cities 24 Hours
Figure 3: Peak demand versus peak met (in MW)
Figure 2: Energy requirement versus availability (in MU)

6. State/Union territory Region
Per-Capita Consumption
(kWh/year)
Dadra and Nagar Haveli Western 15,783
Daman and Diu Western 7,965
Goa Western 2,466
Gujarat Western 2,279
Chhattisgarh Western 2,016
Maharashtra Western 1,307
Madhya Pradesh Western 989
Puducherry Southern 1,784
Tamil Nadu Southern 1,847
Andhra Pradesh[66] Southern 1,319
Telangana Southern 1,551
Karnataka Southern 1,367
Kerala Southern 763
Lakshadweep Southern 633
Punjab Northern 2,028
Haryana Northern 1,975
Delhi Northern 1,574
Himachal Pradesh Northern 1,340
Uttarakhand Northern 1,454
Chandigarh Northern 1,128
Jammu and Kashmir Northern 1,282
Rajasthan Northern 1,166
Uttar Pradesh Northern 585
Odisha Eastern 1,622
Sikkim Eastern 806
Jharkhand Eastern 915
West Bengal Eastern 665
Andaman and Nicobar Islands Eastern 370
Bihar Eastern 272
Arunachal Pradesh North Eastern 648
Meghalaya North Eastern 832
Mizoram North Eastern 523
Nagaland North Eastern 345
Tripura North Eastern 470
Assam North Eastern 339
Manipur North Eastern 326
National 1,122

7. 3).WHAT DO YOU THINK WILL HAPPEN TO THE PRICE OF
ELECTRICITY?
ACCORDING TO US THE PRICE OF ELECTRICITY WILL INCREACSE IF WE
WOULD USE NON RENEWABE SOURCE TO PRODUCE ELECTRICITY
SUCH THERMAL POWER PRODUCTION IN WHICH THE ELECTRICTY IN
PRODUCTED THROUGH BURNING OF FUEL AND COAL AS NON RENEWABLE
FUEL ARE PERISHABLE.AND ALO IF WE LOOK AT THE LAW TO DEMAND IT
STATES THE IF THE DEMAND OF A COMMODITY INCREASES THE PRICE OF THE
COMMODITY ALSO INCREASES BECAUSE OF LESS SUPPLY.

8. IDEAS TO CONSERVE ELECTRICTY:
1).Turning off lights when you leave a room
2).Replacing standard light bulbs and appliances with those that
use less electricity.
3).Less use of fossil fuel.
4).Less pollution and fewer greenhouse gases.
5).Less chance of radioactive pollution.
6).UseTask Lights.
7).Tahe Shorter Shower.

9. References:
1).http://powermin.nic.in/sites/default/files/uploads/PFA_14.04.2017_Signed_CRISIL_Final_Ver00.pdf
2).https://books.google.co.in/books?id=QNckbblKoyAC&pg=PA118&source=gbs_selected_pages&cad=3#v=onepage
&q&f=true
3). https://en.wikipedia.org/wiki/Electricity_sector_in_India
4).https://books.google.co.in/books?id=QNckbblKoyAC&printsec=frontcover&dq=managerial+Economics+by+Geetik
a+FULL+BOOK&hl=en&sa=X&ved=0ahUKEwjxwtrv057lAhXEqI8KHS8wCUUQ6AEIKTAA#v=onepage&q=managerial%2
0Economics%20by%20Geetika%20FULL%20BOOK&f=false
5). https://economictimes.indiatimes.com/industry/energy/power/increased-power-offerings-at-the-indian-energy-
exchange-pulls-down-previous-days-peak-price-by-half/articleshow/70261489.cms?from=mdr

10. Thank you….!!