Power demand to grow over 5% this fiscal, a three year high: Crisil Ratings

Rising industry demand is expected to prop up India’s energy consumption by over 75 billion units (BUs) this fiscal, or 5% on-year – the fastest growth in the past three fiscals, Crisil NSE -1.77 % Ratings Ltd said.

The heightened demand will be met largely by thermal generation companies (gencos) as generation from renewable, hydro and nuclear remains small at less than 25% of the overall generation mix. That should charge up plant load factor (PLFs) of thermal gencos to ~58%, higher than the pre-pandemic level of 56%, an official statement said.