India’s power dilemma: Surplus during the day, deficits at night

Source: The post “India’s power dilemma: Surplus during the day, deficits at night” has been created based on “India’s power dilemma: Surplus during the day, deficits at night” published in “Indian Express” on 27th September 2026.

UPSC Syllabus: GS-3- Indian Economy

Context: India’s power sector has transitioned from persistent electricity shortages to a situation of surplus generation during solar hours and deficits at night. This reflects the rapid expansion of installed capacity, particularly renewable energy, but also creates new challenges for grid management.

Reasons for the changing power scenario

1. Rapid growth in renewable energy: India’s renewable energy capacity, including large hydropower, has reached nearly 292 GW, accounting for about 53% of total installed capacity, while solar capacity stands at around 162 GW.
2. Declining power deficits: Increased generation capacity has reduced peak demand and energy deficits from historically high levels to around 1–2%.
3. Concentration of solar generation: Solar power generation peaks during the day, resulting in surplus electricity that cannot always be utilised.
4. Nighttime supply constraints: Unplanned coal plant outages, high airconditioning demand and poor reservoir levels reduce the availability of electricity at night.
5. Inadequate flexibility: Frequent ramping up and down of coal plants and backing down solar generation lead to energy wastage and increased wear and tear of equipment.

Measures to address the challenges

1. Develop energy storage: Battery storage and pumped storage hydropower can store surplus daytime electricity for use during peak nighttime demand.
2. Strengthen transmission infrastructure: An improved transmission network can facilitate the efficient transfer of electricity across regions.
3. Improve demandside management: Consumers should be encouraged to shift flexible electricity consumption towards solarrich daytime hours.
4. Create suitable market mechanisms: Electricity markets should adequately reward flexibility and incentivise storage and other balancing resources.
5. Ensure financial viability: Competitive bidding and appropriate remuneration mechanisms should make storage projects financially viable and encourage investment.

Conclusion: India must move beyond expanding installed capacity towards ensuring the availability of reliable, flexible and affordable electricity when it is needed. Integrating storage, strengthening transmission and improving market incentives are essential for reducing renewable energy wastage and ensuring power security.

Question: India’s power sector has transitioned from an era of electricity shortages to a situation of daytime surplus and nighttime deficits. Discuss the reasons for this shift and suggest measures to address the emerging challenges.

Source: Indian Express