Power demand declines by 1.6 pct in August
Demand for power fell 1.6% in August, accentuating concerns over the economic slowdown. While power demand was erratic and mostly listless in FY19, the situation improved in the first quarter of the current fiscal because of general elections. A contraction had last been witnessed in February 2017, when consumption declined 2.7% year-on-year.
Demand fell in states like Maharashtra, Gujarat, Tamil Nadu, Jharkhand, Punjab and Odisha, where industrial and commercial users usually account for around 40% of electricity consumption, according to data by the Central Electricity Authority. Electricity requirement also decreased in Haryana, which houses significant automobile and component manufacturing units (along with Maharashtra, Gujarat and Tamil Nadu), after a number of manufacturers recently announced temporary plant shutdowns and production cuts.
