Power demand to fall by 1% in FY21: Icra

Demand for power is likely to fall by 1 per cent in the current fiscal with discom losses widening by almost Rs 20,000 crore as the coronavirus lockdown continues to impact economic activities, says Icra.

According to the rating agency, thermal plant load factor (PLF) is also expected to decline to 54 per cent in FY 2021 from 56 per cent in FY 2020.

“Assuming resumption of full operations by industrial and commercial establishments from July 2020, while May and June continue to witness partial activity, the demand for power is likely to decline by one per cent in FY2021,” it said.