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India's Power Puzzle: Why Flat Demand Amid Rising Peak Use?

India's electricity demand barely budged this November compared to last year. The reason was pretty straightforward: the weather was almost identical, so people didn't need extra power for heating or cooling. Even though the total usage was flat, there were specific times of day when demand spiked to a new high. With plenty of supply available, especially from thermal plants running below capacity, power prices on the exchanges stayed comfortably low.

Key Points: India Power Demand Flat in November Amid Mild Winter Report

  • Overall power demand fell 0.3% YoY to 123 BU due to similar winter temperatures
  • Peak demand, however, rose to 216 GW, indicating concentrated usage spikes
  • Thermal power's share was 78% but plant load factors dropped sharply across the board
  • Ample supply kept market prices low on exchanges like IEX during both solar and non-solar hours
2 min read

Power demand remained flat in November as mild winter keeps consumption in check: Report

India's electricity demand stayed flat in Nov 2025 as mild weather curbed consumption, though peak demand rose, keeping power prices low.

"Winter demand cools along expected lines India's power demand remained broadly flat in Nov-25 - Nuvama Report"

New Delhi, December 15

The domestic electricity demand remained broadly flat in November 2025 as winter temperatures stayed similar to last year, leading to muted consumption and comfortable supply conditions across the country, highlighted a report by Nuvama.

According to the report, all-India power demand declined marginally by 0.3 per cent year-on-year (YoY) in November 2025 to around 123 billion units (BU). The average temperature during the month was 23.1 degrees Celsius, almost the same as 23.6 degrees Celsius recorded in November 2024. This meant there was no major need for extra electricity use for cooling or heating.

It stated "Winter demand cools along expected lines India's power demand remained broadly flat in Nov-25".

Even though overall demand stayed weak, peak power demand increased during the month. Peak demand touched around 216 gigawatts (GW) in November 2025, higher than about 208 GW seen in the same month last year.

This showed that electricity use rose sharply during certain hours, even if total monthly demand did not grow much.

Thermal power continued to dominate India's electricity generation mix. Thermal sources accounted for about 78 per cent of total generation in November 2025. However, plant load factors (PLF), which show how much power plants are being used, fell sharply.

All-India thermal PLF declined to 59.1 per cent in November 2025 from 65.7 per cent in November 2024. NTPC, the country's largest power producer, reported a PLF of 69.8 per cent in November 2025, compared to 79.2 per cent a year ago. Renewable energy generation remained stable on a year-on-year basis at around 11 per cent of the total mix.

The report also mentioned that the supply remained strong during both solar and non-solar hours. During solar hours, power supply was much higher than demand, with sell bids at about 240 per cent of purchase bids. This kept market prices low.

The average price on the Indian Energy Exchange (IEX) during solar hours softened to Rs 3.2 per unit in November 2025 from Rs 3.5 per unit in November 2024.

During non-solar hours, supply also increased sharply, with sell bids at around 250 per cent of purchase bids. Prices during these hours stayed largely stable at Rs 2.9 per unit, slightly lower than Rs 3.0 per unit seen last year.

Overall, muted demand, ample supply, and steady renewable generation kept power prices under control during November, reflecting a calm winter period for India's electricity market.

- ANI

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Reader Comments

R
Rohit P
Flat demand is actually a good sign for a mild winter! Means less strain on the grid. Hope the lower prices on IEX translate to slightly lower bills for us consumers 🤞. The surplus during solar hours is promising for future renewable integration.
A
Aman W
The report is fine, but only 11% from renewables? We are moving too slow on green energy. With all the talk of solar power, the mix hasn't improved year-on-year. We need to accelerate this transition, not just celebrate stable prices.
S
Sarah B
Interesting data. The peak demand increase is the real story here. Even if total use is flat, the grid has to handle bigger spikes. That's where smart management and storage solutions become critical. India's power story is getting more complex.
V
Vikram M
Comfortable supply is a blessing. Remember the power cuts of a few years ago? This stability, even with lower plant usage, shows improvement in planning. But we must use this calm period to upgrade infrastructure for the future. Jai Hind!
K
Kavya N
As a homemaker, stable prices are a relief with winter setting in. No extra heating costs this November is good for the monthly budget. Hope the trend continues! 😊 The report is quite detailed and useful for common people to understand.

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