Archive · 13 Nov 2025
India's October Power Demand Drops Amid Unseasonal Rains
Imagine India uses a lot of electricity, like for air conditioners and factories.
In October this year, it rained a lot even though it was supposed to be warmer.
This meant people didn't need their air conditioners as much, so India used 5.2% less electricity than last October.
Because of this, the machines that make electricity from coal, called thermal power plants, didn't run as much, reaching a low point not seen in four years.
Even though less electricity was used, coal plants still made most of the power.
The electricity market had interesting prices; when the sun was out, there was lots of solar power, making electricity very cheap.
When the sun went down, there was still plenty of power available, also keeping prices lower than last year.
Meanwhile, India is still building a lot of solar and other clean energy sources, and has plans to build even more, sometimes with battery storage.
India's power demand in October 2025 fell by 5.2% year-on-year due to unseasonal rains and cooler temperatures.
Thermal power generation saw a four-year low in plant load factor (PLF), though it still comprised around 70% of the energy mix.
Electricity prices were low, especially during solar hours, due to supply exceeding demand.
Coal inventories increased year-on-year, but NTPC's stock remained below required levels.
India's installed power capacity reached 501 GW, with significant renewable additions and a large tendering pipeline for clean energy.
- Who
- Nuvama Research, NTPC, India Energy Exchange (IEX)
- What
- India's power demand decreased by 5.2% in October 2025 due to unseasonal rains, affecting thermal power generation and market prices, while renewable capacity and tendering pipeline continue to grow.
- When
- October 2025 (with comparisons to October 2024 and previous years)
- Where
- India
- Why
- Unseasonal rainfall and lower temperatures reduced the need for cooling, impacting power demand and thermal plant load factors.
Factors Affecting Power Demand
Market Performance and Future Outlook
Demand Shift Due to Weather
Factors Affecting Power Demand
Unseasonal rainfall and lower temperatures in October 2025 led to a 5.2% year-on-year decrease in India's power demand, reducing the need for cooling. Average temperatures dropped significantly compared to the previous year.
Market Performance and Future Outlook
Despite lower overall demand, the power market saw a divergence between solar and non-solar hours. Solar-hour supply exceeded demand, leading to low prices, while non-solar-hour supply also remained high, resulting in reduced prices compared to the previous year.
Generation Mix and Inventories
Factors Affecting Power Demand
Thermal power generation was significantly affected, with a four-year low in plant load factor (PLF). NTPC's PLF also saw a sharp decline. However, thermal power still constituted about 70% of the generation mix.
Market Performance and Future Outlook
Coal inventories were higher year-on-year across the country, though NTPC's coal stock remained below the normative requirement. India's installed power capacity reached 501 GW by September 2025, with substantial renewable additions, particularly solar.
- October Power Demand Change (YoY)
- -5.2%
- Average Temperature in October 2025
- 25.6°C (down from 27.1°C in Oct 2024)
- Peak Power Requirement in October 2025
- 210 GW (down from 219 GW in Oct 2024)
- All-India Thermal Plant Load Factor (PLF) in October
- 57.5% (four-year low)
- NTPC PLF in October
- 68% (down from 78.1% in Oct 2024)
- Thermal Power Share in Generation Mix
- ~70%
- India Energy Exchange (IEX) Total Volume Growth
- 16% (YoY)
- Real-Time Market (RTM) Transactions Growth
- 47%
- All-India Coal Stock (Days)
- 15.3 days (up from 12.1 days)
- Power Plant Coal Stock (Million Tonnes)
- 47 million tonnes (34% YoY increase)
- NTPC Power Plants Coal Stock (Days)
- 16 days (below 21-day normative requirement)
- Installed Power Capacity (End September 2025)
- 501 GW
- Renewable Capacity Addition (FY26 so far)
- 25 GW (Solar: 22 GW)
- Renewables Share in Generation Mix
- ~30%
- Renewable Tendering Pipeline
- 337 GW
- Awarded Renewable Bids Awaiting PSAs
- ~44 GW
Sources
India to become new epicentre of growth in oil demand by 2035: IEA
India to become epicentre of oil demand growth by 2035 with import dependency hitting 92%, says IEA
India set to be world’s hungriest energy market by 2035, says IEA report
Enhancing energy security
India to Lead Global Oil Demand Growth, Surpassing China, Southeast Asia by 2035: IEA
India’s CO2 emissions see slower increase in 2025: Report
Mint Explainer | How India is emerging as the epicentre of global energy demand