Asia | September 18, 2024

Substation Capacity in India Falls Short of Targets

India's efforts to enhance its electrical infrastructure through substation capacity additions have encountered significant challenges, achieving only 43% of its targeted goals.

 

Image for illustration purposes.

Current Status of Substation Capacity

As of April 2024, India’s total transformation capacity from substations at 220 kV and above stood at approximately 1,253,040 MVA. However, the planned additions for the current fiscal year (FY25) were ambitious, with expectations of adding around 116,490 MVA.

Key Challenges Faced

  1. Implementation Delays: Numerous projects are experiencing delays due to various factors, including right-of-way (RoW) issues, land acquisition disputes, and bureaucratic hurdles. These challenges have led to prolonged timelines for commissioning new substations.
  2. Regulatory Hurdles: The regulatory environment poses additional complications. Delays in obtaining necessary approvals for land use and environmental clearances have hindered progress on many projects.
  3. Funding Constraints: While substantial investments are earmarked for the transmission sector—approximately Rs 4.75 trillion over the next few years—actual disbursement and allocation of funds can be slow, affecting project timelines.

 

Future Outlook

To address these challenges and meet future energy demands, India must enhance its focus on:

  • Streamlining Approvals: Simplifying the regulatory process for land acquisition and environmental clearances could significantly reduce delays in project implementation.
  • Investing in Technology: Embracing advanced technologies for monitoring and managing grid operations can improve efficiency and reliability in the face of growing renewable energy integration.
  • Enhancing Stakeholder Engagement: Involving local communities and stakeholders in planning processes can help mitigate opposition and facilitate smoother project execution.

Source: T&D India