Page 54 - Policy Economic Report - March 2026

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

Key Highlights of the Summit

India’s power sector continues to demonstrate unprecedented growth and transformation:

? Installed capacity has reached over 520 GW, with one of the fastest expansions globally.
? Transmission network has expanded to over 5 lakh circuit kilometres
? Renewable energy capacity has grown significantly, with solar capacity increasing from 2.8 GW

in 2014 to over 143 GW today.
? Electricity demand is projected to grow by over 30% by 2030, driven by emerging sectors such as

AI-enabled data centres and electric mobility.
The Minister of Power emphasised that while thermal power remains critical for grid stability,
renewable energy will drive long-term sustainability, supported by storage, grid modernisation, and
policy reforms.

Ministerial Meeting with States/UTs

A high-level Ministerial meeting chaired by the Union Minister of Power resulted in the following priority
action areas:

? Strengthening financial viability of DISCOMs through structural and operational reforms
? Ensuring cost-reflective tariffs with targeted subsidies
? Accelerating smart metering rollout nationwide
? Securing adequate generation capacity tie-ups for future demand
? Fast-tracking nuclear power development to meet long-term energy security goals

Strategic Sessions – Key Takeaways

Several strategic sessions explored critical themes shaping the future power landscape:

? Centre-State Coordination: Emphasis on policy alignment and faster project execution
? Green Hydrogen & Emerging Fuels: Positioning India as a global hub for green industrial fuels
? AI-driven Power Systems: Enhancing grid intelligence, cybersecurity, and operational efficiency
? Nuclear Energy: Scaling reliable, clean baseload capacity
? Electrification & Power Markets: Enabling low-carbon growth through efficient trading systems
? Financing Sectoral Growth: Mobilising trillions in investments through bankable frameworks
? Energy Storage: Addressing rapid growth in storage requirements (expected to increase 5x by

2031–32)
? Make in India for the World: Strengthening domestic manufacturing for global clean energy

supply chains

Discussions highlighted that India’s long-term energy transition may require investments exceeding USD
22 trillion by 2070, with significant opportunities in generation, transmission, storage, and digital
infrastructure.

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