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India’s thermal power capacity demand seen at 307 GW by 2035: Goyal

2025-12-18

India’s thermal power requirement is projected to rise sharply to 307 gigawatts (GW) by 2035, reflecting the country’s sustained efforts to meet growing energy demand, Union Minister for Commerce Piyush Goyal said.

Responding to a question from The Hindu, Piyush Goyal, Union Minister for Commerce, said the government is making continuous progress to strengthen India’s power generation capacity and ensure reliable energy availability for the country’s expanding economy. Speaking to reporters on December 15, 2025, he highlighted the pace at which new capacity is being added and contracts are being awarded in the thermal power segment.

According to the minister, India commissioned 7.2 GW of thermal power capacity during the previous financial year (FY2025). In the same period, contracts worth 26.3 GW were awarded, underscoring a strong pipeline of upcoming projects. The momentum has continued into the current financial year, with contracts for 13.3 GW of thermal power capacity already awarded so far.

“You can see the speed with which we are growing our capacity to meet the needs of India and all Indians,” Piyush Goyal, Union Minister for Commerce, said.

The projected increase to 307 GW by 2035 comes amid rising electricity consumption driven by industrial growth, urbanisation, infrastructure development and increasing household demand. While India continues to expand renewable energy capacity, thermal power remains a critical component of the country’s energy mix, providing base-load power and grid stability.

Government data and recent project awards indicate a balanced approach toward meeting future demand, with emphasis on timely commissioning, improved efficiency and modernisation of existing assets. The steady flow of awarded contracts also signals continued investment interest in the power sector.

Industry observers note that the accelerated pace of capacity addition will play a key role in supporting economic growth while ensuring energy security, even as India advances its long-term transition toward cleaner and more sustainable energy sources.

News source: The Hindu

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