Power consumption cools 5% in August amid falling mercury

NEW DELHI: India's power consumption in August fell around 4.9% year-on-year to 144.2 billion units, owing majorly to rainfall across the country which lowered temperatures.

The electricity consumption was also lower by 4.2% from July, indicating lower use of cooling appliances.

In contrast, June had seen 152.4 billion units being drawn for consumption, which is 5.7% higher than August. Incessant rains also led to a sharp fall in power prices last month on the Indian Energy Exchange. The average daily price in the day-ahead market (DAM) stood at ?4.33 a unit between August 1 and 28, down 35.5% over the same period last year.



Last year, there was a rainfall deficit in August and the month was warmer, leading to higher demand for irrigation and cooling.

Peak power demand has also cooled off, with August 31 recording the need for electricity at around 207 GW, as against 236.6 GW. Coal stocks have also been sufficient at power plants with 39.8 million tonnes on August 30. This is equivalent to around 18-19 days of consumption.



According to the Indian Meteorological Department, the country recorded 287.1 mm of rainfall in August, which is about 16 per cent higher than the normal 248.1 mm.