Archive · 17 Dec 2025
India's Power Sector Shows Mixed Trends
India's power sector had a mixed month in November 2025.
The total power capacity is now 505 GW, with more clean energy sources like hydro and renewables being used.
However, the total power generated decreased slightly by 0.9% compared to the previous year, mainly because coal and nuclear plants produced less.
On the other hand, the highest power demand at any given time increased by 4.1%, showing that people still need a lot of electricity.
The government is taking steps to help renewable energy projects by asking agencies to talk to power companies and consumers before making plans.
There are also challenges in getting power companies to sign agreements for some renewable energy projects.
Some power companies are now valued similarly to their long-term averages, while others are valued lower than before.
India has already achieved 50% of its electricity capacity from non-fossil fuel sources, five years ahead of its target.
India's total power capacity reaches 505 GW with a cleaner energy mix.
Power generation in November 2025 decreased by 0.9% year-over-year.
Coal and nuclear plant outputs weakened, while hydro and renewables surged.
Peak power demand increased by 4.1% year-over-year to 215.5 GW.
Valuations for power companies like NTPC and Power Grid are near historical averages.
- Who
- India's power sector, including the Ministry of New & Renewable Energy (MNRE), Renewable Energy Implementing Agencies (REIAs), Discoms, and consumers
- What
- Mixed trends in power generation, demand, and renewable energy projects; challenges in signing Power Sale Agreements (PSAs) for stranded renewable energy projects
- When
- November 2025 and up to October 2025
- Where
- India
- Why
- Shift towards cleaner energy sources, varying plant outputs, and challenges in encouraging Discoms to sign PSAs for stranded renewable energy projects
Government and REIAs
Discoms and Consumers
Power Purchase Agreements (PPAs)
Government and REIAs
Government has advised REIAs to aggregate demand from Discoms and consumers before floating tenders to facilitate PPAs.
Discoms and Consumers
Discoms and consumers prefer solar-plus-storage and dispatchable renewable power over plain solar power.
- Total Power Capacity
- 505 GW
- November Power Generation
- 134.2 BU
- Year-over-Year Generation Change
- -0.9%
- Peak Power Demand
- 215.5 GW
- Year-over-Year Demand Change
- 4.1%
- Companies Near Historical Valuations
- NTPC, Power Grid
- Companies Trading Below Peaks
- JSW Energy, Torrent Power
- Stranded Renewable Energy Projects
- 43.9 GW (as of September 2025)
- Renewable Energy Implementing Agencies (REIAs)
- Solar Energy Corporation of India (SECI), NTPC, NHPC, SJVN
- Renewable Energy Capacity Issued (April 2023-October 2025)
- 67.55 GW
- Installed Non-Fossil Fuel Capacity (as of October 31, 2025)
- 259 GW
- Non-Fossil Fuel Capacity Added (Current Financial Year)
- 31.2 GW (up to October 2025)