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Lockdown constraints amid second wave of Covid-19 a downside risk for electricity demand: ICRA

Lockdown constraints amid second wave of Covid-19 a downside risk for electricity demand: ICRA

Electrical Mirror

India’s Power Generation Records Fastest Growth in Five Months Amid Industrial Demand Surge

02 Sep 2025

India’s electricity generation rose at the quickest pace in five months in August, driven by a surge in industrial activity and higher consumption across key sectors. Latest data shows that factories and manufacturing hubs registered strong power demand, reflecting an upswing in industrial output and business activity.
 
Analysts note that the growth in power consumption is closely tied to rising production in energy-intensive sectors such as metals, cement, and chemicals, alongside steady demand from households and commercial establishments. Favorable weather conditions and improved coal supplies also supported uninterrupted generation.
 
The officials highlighted that the upward trend in power demand signals renewed momentum in India’s economic recovery. With the festive season approaching and industrial output expanding, electricity consumption is expected to remain elevated in the coming months.

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