Gujarat asks factories to curb power usage as demand surges

AHMEDABAD/NEW DELHI - India's top industrial state Gujarat has asked factories to curb electricity use during evening hours to avoid shortages, as surging demand and low coal stocks at power plants strain supply.

India is struggling to meet electricity demand during evening hours as it lacks enough batteries to store clean power generated during the day.

The appeal from Gujarat, Prime Minister Narendra Modi's home state in western India, comes as half of India's 191 coal-fired power plants are operating with critically low coal inventories, according to Central Electricity Authority data.


Hotter weather linked to El Nino, higher irrigation needs and increased industrial activity are driving India's power demand.

A state utility, Uttar Gujarat Vij Company Ltd, has sent out text messages to industries and citizens to conserve power during peak evening hours from 5 p.m. to 11 p.m. (1130 GMT to 1730 GMT). The state has asked factories to voluntarily shift production away from evening peak hours.

Gujarat state said it has also sought additional supply of coal and power from the federal government. It is also planning to build new coal, nuclear and battery storage projects to meet future demand.

LOW COAL STOCKS

Several states, including Gujarat, Punjab, Madhya Pradesh, Bihar, Kerala, Tamil Nadu and Himachal Pradesh, are seeking short-term coal power through tenders as per power ministry data.

India's total coal inventories at power plants have fallen about 5% since the start of October, while daily peak electricity demand has been running 45 gigawatts (GW) to 50 GW higher than a year earlier.

Last month the gap between electricity demand and supply widened to 560 million kilowatt-hours, the highest since August 2023, according to government data.