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Thermal Power Sector Overview

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India's Thermal Power sector, valued at ₹6.5 trillion in 2023-24, generates 70% of the country’s electricity. The sector plays a key role in meeting India’s energy needs, with continuous efforts to improve efficiency and reduce emissions, while expanding renewable energy integration.

Why Invest in the Thermal Power Sector

  • High Demand: Growing industrialization and population increase drive strong energy demand.
  • Government Support: Policies like the National Electricity Plan and Ujjwal Bharat Scheme aim to boost efficiency and sustainability.
  • Capacity Expansion: The sector plans to add 60-70 GW of thermal capacity by 2030, ensuring growth prospects.

Incentives & Schemes

  • Ujjwal Bharat Scheme: Focuses on improving power plant efficiency and emission control.
  • FDI in Power Sector: 100% FDI in power generation, facilitating global investments.
  • National Electricity Plan: Promotes integration of renewable energy and efficiency improvements.

Highlights

  • Energy Demand Growth: Industrial growth and rising population drive strong demand.
  • Technological Advancements: Supercritical and ultra-supercritical technology upgrades.
  • Capacity Addition: Target of 60-70 GW of thermal power capacity by 2030.

Thermal Power Sector Data

Category Details
Market Size (2023-24) Market Size (2023-24) ₹6.5 trillion
Thermal Power Share 70% of total electricity generation
Planned Capacity Addition 60-70 GW by 2030
FDI in Power Sector Over $15 billion
Coal-based Power Generation 70% of thermal power capacity
Energy Demand Growth 8-10% annual growth
Renewable Energy Target 175 GW by 2022
Employment in Power Sector Employment in Power Sector 2 million people employed
Efficiency Improvements Adoption of supercritical technology
Plant Load Factor Average PLF of 65-70%

Latest Figures and Progress

  • FDI: Over $15 billion in FDI in power generation.
  • Market Size: The thermal power sector’s estimated value is ₹6.5 trillion in 2023-24.

The thermal power sector remains a crucial pillar of India's energy infrastructure, meeting 70% of electricity demand. With strong government support, technological advancements, and planned capacity expansion, the sector continues to evolve towards greater efficiency and sustainability.