Peak power demand declines further to 5.65pc in 1st fortnight of August

The power demand declined by around 25 per cent in April.

The slump in peak power demand has widened to 5.65 per cent in the first fortnight of August from 2.61 per cent drop recorded in July, according to the power ministry data.

Peak power demand met, which is the highest energy supply during a day across the country, was at 167.49 GW in the first fortnight of August, down by 5.65 per cent from 177.52 GW recorded in August last year. Peak power demand met was recorded at 170.54 GW in July this year, down 2.61 per cent compared to 175.12 GW in the same month last year.

Industry experts said that power demand has been stabilising since May this year following easing the lockdown by the government to boost commercial and industrial activities. The government had imposed the lockdown to contain COVID-19 on March 25, 2020, which resulted in lower commercial and industrial demand of power.

The power demand declined by around 25 per cent in April. The electricity demand rose May onwards after easing of the lockdown for more commercial and industrial activities.

The spurt in electricity demand from May onwards raised hopes that it will touch normal levels (recorded in same month last year) from August onwards in the country. Experts further said that the power consumption as well as demand expected to touch normal level (recorded in same month last year) this month onwards and the exact position would be known only after the end of August when complete monthly data would be available.

In June this year, peak power demand met had dipped by 9.6 per cent to 164.98 GW, as compared to 182.45 GW in June 2019. In May this year, the peak power demand met stood at 166.22 GW, 8.9 per cent less than 182.53 GW in the year-ago period. While, in April it stood at 132.73 GW, around 25 per cent lower than 176.81 GW recorded in the corresponding month a year earlier mainly due to lower commercial and industrial demand due to lockdown.

The data also showed the slump in power consumption has narrowed to just 3.6 per cent in July at 112.24 billion units (BU) as compared to 116.48 BU in same month last year.

Power consumption in June had declined by 10.93 per cent to 105.08 BU, as compared to 117.98 BU in the same month last year. Similarly, power consumption in the country was down by 14.86 per cent in May and 23.21 per cent April this year.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.