India to require Rs 200 lakh crore power sector investment by 2047

India’s power sector will require investment of approximately Rs 200 lakh crore over the next two decades, Union Minister of Power Manohar Lal said while inaugurating the Bharat Electricity Summit 2026 in New Delhi.

Speaking at Yashobhoomi, the Minister framed the investment need within India’s goal of becoming a developed nation by 2047, citing energy as central to that ambition. “Energy is at the heart of development,” he said, adding that India’s focus going forward would be on innovation, affordability, and global collaboration.

The Ministry of Power simultaneously released a transmission blueprint envisaging 1,37,500 circuit kilometres of new transmission lines and 8,27,600 MVA of substation capacity, at an estimated investment of Rs 7.93 lakh crore, to support integration of over 900 GW of non-fossil fuel capacity by 2035-36.

Manohar Lal pointed to several milestones underpinning the sector’s momentum: solar capacity has grown from 2.8 GW to over 143 GW, transmission infrastructure has expanded 72% to more than 5 lakh circuit kilometres, and India met a 250 GW peak demand in 2024-25. The country is now prepared to meet peak demand of 270 GW and beyond, he said.

India also achieved its Nationally Determined Contribution target of 50% cumulative non-fossil electric capacity nearly five years ahead of schedule.

Power Secretary Pankaj Agarwal, also present at the inauguration, said India now operates one of the world’s largest synchronised grids. “From near-zero peak deficits to one of the world’s largest synchronised grids, and from falling solar tariffs to smart infrastructure rollout, we are building a system that is efficient, reliable, and investment-ready,” he said.

Photo credit: PIB