India Unveils ₹14.3 Trillion Power Sector Overhaul to Meet 2035 Energy Demand

BUSINESS & FINANCE

In a major move to future-proof its energy infrastructure, India has charted a massive ₹14.3
trillion (approx. $172 billion) power sector overhaul
 to meet the country’s rapidly rising
energy demands by 2035.

The plan includes major investments in power generation, transmission, and distribution,
with a strong emphasis on renewable energy integration, energy storage, and grid
modernization
.

Key Components of the Overhaul:

  • Capacity Expansion: Addition of 777 GW of generation capacity by 2035, including 412 GW of renewable energy
  • Energy Storage: Installation of 74 GW battery energy storage systems (BESS) to stabilize the grid
  • Transmission Upgrades: Development of power evacuation corridors to support renewable energy zones
  • Modernization: Strengthening of smart grids, metering infrastructure, and AI-driven power management
  • Peak Demand Preparedness: Addressing a projected peak electricity demand of 394 GW by 2031–32

The government is also focused on phasing out old coal plants, enhancing cross-border energy trade, and encouraging private sector participation in clean energy development.

A senior CEA official remarked, “This comprehensive plan is critical for India’s energy
security and economic growth. It aligns with our net-zero targets and positions India as a
global clean energy leader.”

India’s Energy Vision for 2035
The power sector transformation is part of India’s broader strategy to meet its net-zero by
2070 commitment
, reduce dependence on fossil fuels, and empower over 1.4 billion citizens
with sustainable energy access.