Union Minister for Power, Manohar Lal, outlined key achievements and strategic initiatives in the power sector during a press conference held in New Delhi. He emphasised the government’s commitment to ensuring universal, uninterrupted access to electricity, with a clear target of achieving 100 per cent household electrification across India. He noted that the country has become power sufficient, meeting all its energy requirements and progressing towards becoming a power-surplus nation.1. India Meets Peak Demand with Zero ShortageThe Minister reported that India successfully met a peak power demand of 241 GW on 9th June 2025, without any shortage. This milestone reflects the growing resilience and robustness of the country’s power infrastructure.2. Major Push for Battery Storage with New VGF SchemeAs part of efforts to enhance energy security and facilitate renewable energy integration, the Ministry of Power has approved a Viability Gap Funding (VGF) scheme for 30 GWh of Battery Energy Storage Systems (BESS), supplementing the 13.2 GWh capacity already under development. The Rs 54 billion initiative is expected to attract an estimated Rs 330 billion in investments and aims to meet the country’s BESS requirements by 2028.3. ISTS Waiver Extended for Storage ProjectsTo support the growing need for energy storage and improve the utilisation of transmission networks, the government has extended the Inter-State Transmission System (ISTS) charge waiver for storage projects until 30th June 2028. The waiver applies to Pumped Storage Projects that have been awarded and Battery Energy Storage Systems commissioned before this date.4. UHV AC Transmission System to Modernise Grid by 2034The Minister announced that India is preparing to deploy an Ultra High Voltage Alternating Current (UHV AC) transmission system to modernise its power grid. Plans include the development of nine 1100 kV lines and ten substations by 2034, supported by new testing infrastructure under development at the Central Power Research Institute. The investment for this initiative is projected at Rs 53,000 crore.5. Higher Compensation for Transmission Infrastructure Land UseIn a significant reform to address Right of Way challenges, the central government has revised compensation norms for land used in transmission infrastructure. The compensation for tower areas has been increased from 85 per cent to 200 per cent of land value, while the rate for the Right of Way corridor has been raised from 15 per cent to 30 per cent. Haryana and Delhi have already implemented the new guidelines, which were issued on 21st March 2025.6. Reforms to Encourage Private Investment in State Transmission GridsTo promote private sector participation and ensure financial discipline, the Late Payment Surcharge (LPS) Rules have been extended to include Intra-State Transmission Systems. Previously applicable only to Inter-State systems, the revised rules are expected to support the expansion of state-level transmission networks and facilitate greater absorption of renewable energy.7. Record Capacity Addition of 34 GW in FY25India added a historic 34 GW of new power generation capacity in the financial year 2024–25, the highest ever in a single year. Of this, renewable energy sources accounted for 29.5 GW. The country’s total installed capacity has now reached 472.5 GW, compared to 249 GW in 2014.8. Commissioning of Tehri Pumped Storage ProjectThe first 250 MW unit of the Tehri Pumped Storage Project (PSP) in Uttarakhand has been commissioned. This addition will enhance grid flexibility and aid in managing peak load requirements while supporting renewable energy integration.9. Energy Shortages Drop to All-Time LowOwing to substantial capacity expansions in both generation and transmission, India’s national energy shortage has declined to an all-time low of just 0.1 per cent as of April 2025. This marks a significant improvement from the 4.2 per cent shortage recorded in 2013–14, resulting in greater energy security and availability across the country.