While rising electricity demand results from economic growth and urban development, energy consumption in India peaked in 2023 due to extreme temperatures, according to Climate Trends.

The domestic think tank’s latest report revealed that India’s electricity demand surged by 41 percent during the peak summer months of 2023 as the country faced record-breaking heatwaves, with temperatures soaring past 50 degrees Celsius in some regions.

The study found a direct correlation between rising temperatures and electricity consumption, with peak demand reaching 220 gigawatts nationwide.

The annual average demand stood at 181 GW, while summer demand rose to 185 GW, highlighting the strain on the country’s energy infrastructure.

Manish Ram, the report’s lead analyst, noted that “the electricity demand surge aligns closely with extreme temperature trends, particularly in urban areas where cooling needs drive energy consumption.”

Temperature-Energy Link

According to the report, India recorded 73 heatwaves in which temperatures exceeded 37°C and 50 instances in which the mercury crossed 40°C.

The most affected regions, particularly in central and eastern India, saw temperature hikes of up to 24 percent compared to historical averages.

“Data shows that as temperatures exceed 24°C, electricity demand follows a hockey-stick curve, with sharp spikes due to the increased use of air conditioners and fans,” stated Ram.

Energy Supply and Emissions

To meet the heightened demand, fossil fuel-based electricity generation increased by 2,853 million units, marking a 3 percent rise. This led to an additional 2 million tons of carbon dioxide emissions. Renewable energy sources also contributed an additional 1,351 MU, a 4 percent increase.

Despite this, fossil fuels remained the dominant power source, supplying 76 percent of total electricity generation, while renewables accounted for 21 percent.

Ram emphasized the need for clean energy solutions, warning that “without major grid reforms and renewable energy expansion, summer demand peaks will continue to strain India’s power system.”

Urban-Rural Divide

The report found that urban areas saw significantly higher electricity demand growth due to widespread access to cooling appliances, whereas rural regions remained constrained by limited infrastructure.

The highest state-level increases ranged from 16 percent to 110 percent, with Mizoram, Manipur and Tripura facing 110 percent, 93 percent and 89 percent rise.

Policy Recommendations

The study urged policymakers to accelerate renewable energy adoption, modernize electricity grids, and promote energy-efficient cooling technologies to mitigate peak demand stress.

It also recommended expanding storage solutions and ensuring equitable energy access to bridge the urban-rural gap.

“As India faces rising temperatures due to climate change, proactive energy planning is essential to avoid grid failures and excessive carbon emissions,” the report concluded.