Electricity consumption increased by 19% in the first half of May
Electricity consumption in the country increased by about 19% in the first half of May to 51.67 billion units (BU) compared to the same period last year, showing a recovery of industrial and commercial demand for electricity, according to data from the Department of Energy.
Power consumption for the first half of May 2020 was 43.55 BU. Power consumption for the whole month of May last year was 102.08 BU.
During the first half of May (May 1-14), the peak demand for electricity satisfied or the highest one-day supply touched the highest level of 168.78 GW (May 6 2021) and recorded a growth of more than 15% on 146.54 GW (peak reached) recorded at the same period in 2020 (May 13, 2020).
Electricity consumption in April increased by nearly 40% to 118.08 BU. Power consumption in April 2020 had fallen to 84.55 BU from 110.11 BU a year earlier, after most economic activities came to a halt following the imposition of the national COVID-19 lockdown last week from March 2020.
Power consumption had also decreased in May 2020 to 102.08 BU from 120.02 BU in May 2019.
Similarly, peak electricity demand satisfied or highest power supply in a day also fell to 132.73 GW in April 2020 from 176.81 GW in the same month in 2019, reflecting the impact of the lockdown. on the activities.
The decrease in economic activities also led to a drop in peak electricity demand in May 2020 to 166.22 GW from 182.53 GW in May 2019.
“Energy is a derived demand, and with the onset of summer and the pre-monsoon productive cycle of the Indian economy, a slight uptick is still expected,” said Davinder Sandhu, adviser to Primus Partners. “Energy demand and supply increased by 25-40% between March and May 2021, with thermal PLFs (plant load factor or capacity utilization) reaching 75% and above, after many quarters This is facilitated by the opening up of the economy in the first quarter (January-March 2021), with rising economic output as well as a sharp rise in exports,” added Mr. Sandhu, who is also a former adviser at the World Bank.
“The Impact of the Second Wave”
The second wave of closures will certainly have an impact on economic activity and, consequently, on energy demand. The larger-than-usual increase is partly attributed to a lower base, as well as pent-up demand running, he added.
After a six-month gap, electricity consumption recorded growth of 4.6% over one year in September 2020 and 11.6% in October 2020.
In November 2020, growth in electricity consumption slowed to 3.12%, mainly due to the early onset of winter. In December 2020, electricity consumption increased by 4.5% compared to an increase of 4.4% in January 2021.