Economic Survey 2025 Highlights India’s Power Sector Growth, Renewable Energy Expansion & Electrification Milestones
With 47% Renewable Contribution & 18,374 Villages Electrified, India Moves Toward Energy Security & Sustainability.

- Country:
- India
The Economic Survey 2024-25, presented in Parliament today, highlights India’s impressive progress in the power sector, showcasing robust growth, financial viability, and environmental sustainability. Union Minister for Power and Housing & Urban Affairs, Shri Manohar Lal, emphasized the sector’s transformative expansion, driven by forward-looking policies and infrastructure investments.
“The survey aptly reflects the robust expansion of India’s power sector, which has witnessed unprecedented growth under our government’s initiatives. We are committed to ensuring uninterrupted and affordable electricity for every citizen, while positioning India as a major energy exporter by 2047, in line with the vision of Viksit Bharat,” stated Shri Manohar Lal.
Key Highlights of India’s Power Sector Growth:
Installed Power Capacity & Renewable Energy Expansion
India’s total installed power capacity reached 456.7 GW in November 2024, marking a 7.2% year-on-year increase.
Renewable energy now contributes 47% (209.4 GW) of total capacity, a major leap towards clean energy goals.
Investments worth ₹1.85 lakh crore have accelerated electrification and grid modernization across the country.
Electrification & Rural Development
18,374 villages electrified, improving energy access in remote areas.
2.9 crore rural households benefited from expanded electricity connections.
The Revamped Distribution Sector Scheme (₹3 lakh crore) is enhancing power supply reliability and smart metering solutions across states.
Solar & Wind Energy Initiatives
PM Surya Ghar: Muft Bijli Yojana targets 40-45 GW of rooftop solar capacity by 2027, ensuring energy security for households.
A ₹7,453 crore Viability Gap Funding (VGF) scheme has been introduced to boost offshore wind energy projects.
Green Energy Corridor & Grid Modernization
9,136 circuit km of new transmission lines have been added under the Green Energy Corridor project to support renewable integration.
Urban power supply has increased to 23.4 hours/day, while rural areas now receive 21.9 hours/day of electricity.
The national energy deficit has been reduced to an all-time low of 0.1%, reflecting improved power availability and efficiency.
Future Vision: Energy Security & Sustainability
The government aims to: Expand renewable energy to achieve 500 GW of non-fossil fuel capacity by 2030.
Enhance power sector financing to support large-scale green energy projects.
Strengthen energy storage solutions, including battery storage and pumped hydro projects.
Upgrade transmission infrastructure to integrate renewable energy into the national grid.
Reduce reliance on coal-based power, transitioning to a low-carbon economy.
With these bold initiatives, India is on track to become a global leader in clean and sustainable energy, ensuring energy security, affordability, and uninterrupted supply for all. The Economic Survey 2025 affirms the government’s commitment to power sector reforms, setting the stage for a future-ready energy ecosystem aligned with the Viksit Bharat vision.
- READ MORE ON:
- Economic Survey
- Manohar Lal