During the financial year 2023, the average cost of state electricity supplied in India was 7.11 Indian rupees per kilowatt-hour. Furthermore, that same year, the South Asian country was the third largest electricity producer in the world. Short-term transactions on the rise The electricity market in India has seen significant growth in short-term transactions and power exchange activity. During the fiscal year 2023, the volume of short-term electricity transactions exceeded 194 terawatt-hours, which marked a four percent increase from the previous year. During the same time, electricity transacted through power exchanges was approximately 103 terawatt-hours, the highest number ever recorded. These trends indicate a more dynamic and flexible electricity market across the country. Shift towards renewable energy In the fiscal year 2023, over 8.25 million Renewable Energy Certificates were traded on power exchanges, highlighting the country's commitment to sustainable energy sources. Moreover, India transitioned from being a net importer of electricity to a net exporter of electricity in 2023, exporting around 11 terawatt-hours. The shift shows the success of policies aimed at enhancing India's energy self-reliance and its potential as a regional power supplier. 

In the first quarter of 2024, the industrial electricity rate in India saw a marginal decrease to **** U.S. dollars per kilowatt-hour. Previously, the rate had peaked at **** U.S. dollars per kilowatt-hour during the second to fourth quarters of 2023.

India Electricity: Price: Weighted Average data was reported at 3.990 INR/kWh in Sep 2018. This records a decrease from the previous number of 4.240 INR/kWh for Aug 2018. India Electricity: Price: Weighted Average data is updated monthly, averaging 4.240 INR/kWh from Sep 2008 (Median) to Sep 2018, with 121 observations. The data reached an all-time high of 7.980 INR/kWh in Nov 2008 and a record low of 3.300 INR/kWh in Jul 2017. India Electricity: Price: Weighted Average data remains active status in CEIC and is reported by Central Electricity Regulatory Commission. The data is categorized under India Premium Database’s Energy Sector – Table IN.RBA001: Electricity: Overview.

India Electricity: Price: Maximum data was reported at 6.500 INR/kWh in Sep 2018. This stayed constant from the previous number of 6.500 INR/kWh for Aug 2018. India Electricity: Price: Maximum data is updated monthly, averaging 7.070 INR/kWh from Sep 2008 (Median) to Sep 2018, with 121 observations. The data reached an all-time high of 13.540 INR/kWh in Apr 2009 and a record low of 4.700 INR/kWh in Jul 2017. India Electricity: Price: Maximum data remains active status in CEIC and is reported by Central Electricity Regulatory Commission. The data is categorized under India Premium Database’s Energy Sector – Table IN.RBA001: Electricity: Overview.

At the end of fiscal year 2024, the Wholesale Price Index of electricity across India was 145. While there has be a constant increase in the Wholesale Price Index, the financial year 2020 marks a first decrease.

India IN: Residential Electricity Price: USD per kWh data was reported at 0.220 USD/kWh in 2019. This stayed constant from the previous number of 0.220 USD/kWh for 2018. India IN: Residential Electricity Price: USD per kWh data is updated yearly, averaging 0.220 USD/kWh from Dec 2007 (Median) to 2019, with 13 observations. The data reached an all-time high of 0.240 USD/kWh in 2015 and a record low of 0.210 USD/kWh in 2009. India IN: Residential Electricity Price: USD per kWh data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s India – Table IN.OECD.GGI: Environmental: Environmental Policy, Taxes and Transfers: Non OECD Member: Annual.

This dataset provides values for ELECTRICITY PRICE reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

In the third quarter of 2025, Bermuda had the highest household electricity prices worldwide, followed by Ireland, Italy, and Germany. At the time, Irish households were charged around 0.44 U.S. dollars per kilowatt-hour, while in Italy, the price stood at 0.42 U.S. dollars per kilowatt-hour. By comparison, in Russia, residents paid almost 10 times less. What is behind electricity prices? Electricity prices vary widely across the world and sometimes even within a country itself, depending on factors like infrastructure, geography, and politically determined taxes and levies. For example, in Denmark, Belgium, and Sweden, taxes constitute a significant portion of residential end-user electricity prices. Reliance on fossil fuel imports Meanwhile, thanks to their great crude oil and natural gas production output, countries like Iran, Qatar, and Russia enjoy some of the cheapest electricity prices in the world. Here, the average household pays less than 0.1 U.S. dollars per kilowatt-hour. In contrast, countries heavily reliant on fossil fuel imports for electricity generation are more vulnerable to market price fluctuations.

India Electricity: Price: Minimum data was reported at 3.010 INR/kWh in Sep 2018. This stayed constant from the previous number of 3.010 INR/kWh for Aug 2018. India Electricity: Price: Minimum data is updated monthly, averaging 2.500 INR/kWh from Sep 2008 (Median) to Sep 2018, with 121 observations. The data reached an all-time high of 3.230 INR/kWh in Apr 2011 and a record low of 0.020 INR/kWh in Oct 2016. India Electricity: Price: Minimum data remains active status in CEIC and is reported by Central Electricity Regulatory Commission. The data is categorized under India Premium Database’s Energy Sector – Table IN.RBA001: Electricity: Overview.

Energy Exchange Price - Time Series Forecasting

This dataset contains the exchange price of electricity for the day ahead market (DAM) from 2019 to 2024.

The main aim of this dataset is to predict the MCP (Rs/MWh).

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In September 2024, industrial electricity prices in the European countries of Germany, Italy, and the United Kingdom were among the highest in the world, at around **** U.S. dollars per kilowatt-hour. Singapore was the Asian country with the highest electricity bill worldwide at that time. Lowest electricity prices in the world The average retail electricity price in the United States was considerably lower than in most of Europe. Iceland was the European country with one of the lowest electricity bills for enterprises that month. At the bottom of the ranking were also Russia, Iraq, Qatar, Argentina, and Libya. In these countries, commercial electricity prices amounted to less than *** U.S. dollars per kilowatt-hour. Household electricity prices In addition, European countries had the highest household electricity prices worldwide that month, with Italy at the top of the ranking. By comparison, Iran and Ethiopia had the lowest residential electricity prices in the world.

Replication Data for: "Electricity Cost and Firm Performance: Evidence from India"

Graph and download economic data for Consumer Price Index: Housing, Water, Electricity, Gas and Other Fuels (COICOP 04): Total for India (INDCP040000IXNBQ) from Q1 2013 to Q1 2019 about water, fuels, India, electricity, gas, CPI, price index, indexes, and price.

High Frequency Indicator: The dataset contains day-wise compiled data from the year 2008 to till date on total short-term electricity transactions performed and total power generated in India

Notes:

1. The Short Term Transactions of Electricity refers to the contracts of less than one year period for electricity transacted (inter-State) through inter-State Trading Licensees and also directly by the Distribution Licensees, Power Exchanges such as Indian Energy Exchange Ltd (IEX), Power Exchanges (PXs), Power Exchange India Ltd (PXIL), and Deviation Settlement Mechanism (DSM) and their subsidiaries
2. Bilateral Transaction means a transaction for exchange of energy (MWh) between a specified buyer and a specified seller, directly or through a trading licensee, from a specified point of injection to a specified point of drawal for a fixed or varying quantum of power (MW)
3. The Day-Ahead Energy Market (day-ahead market) is a financial market where market participants purchase and sell electric energy at financially binding day-ahead prices for the following day
4. The Green Day ahead market is a financial marked which enables participants to purchase electricity for the same day through intra-day contracts, for the next day through day-ahead contingency, on a daily basis for rolling seven days through daily contracts

India Consumer Price Index (CPI): Fuel and Light: Weights: Electricity data was reported at 2.260 % in Oct 2018. This stayed constant from the previous number of 2.260 % for Sep 2018. India Consumer Price Index (CPI): Fuel and Light: Weights: Electricity data is updated monthly, averaging 2.260 % from Jan 2014 (Median) to Oct 2018, with 58 observations. The data reached an all-time high of 2.260 % in Oct 2018 and a record low of 2.260 % in Oct 2018. India Consumer Price Index (CPI): Fuel and Light: Weights: Electricity data remains active status in CEIC and is reported by Central Statistics Office. The data is categorized under India Premium Database’s Inflation – Table IN.IA016: Consumer Price Index: 2012=100: Fuel and Light: Weights.

Annual electricity production across India reached *** percent in fiscal year 2024. A provisional figure for the fiscal year 2025 indicated a production growth rate of almost *** percent, a decrease in India's electricity in comparison to the previous year.

Snapshot img

India Power Market Size 2024-2028

The India power market size is forecast to increase by USD 465.95 billion at a CAGR of 9.19% between 2023 and 2028. The Indian power market is witnessing significant growth, driven by government policies aimed at mitigating carbon footprints and striving for net zero emissions. The rising electricity demand, fueled by population growth and industrialization, necessitates infrastructural activities to scale up renewable energy infrastructure.

Solar energy is a key focus area, with foreign investment pouring in to capitalize on the country's abundant solar resources. However, challenges persist, including the poor financial health of DISCOMs in the power sector, which hampers the effective implementation of these initiatives. The Indian power market presents a unique opportunity for stakeholders to contribute to a sustainable energy future while addressing the pressing infrastructure needs of the country.

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The Indian power market is a significant sector in the country's macroeconomics, with an annual power consumption of over 1,200 Terawatt-hours (TWh) and an installed capacity of over 380 GW as of 2021. The power generation sector is primarily driven by thermal (63%), hydro (19%), and renewable energy sources (18%). The regulatory structure plays a crucial role in shaping the power market, with policies focused on ensuring supply security and promoting generation infrastructure. Major power plants are located in various regions, including Western, Northern, Eastern, and Southern India. Asset transactions have been a significant trend in the power market, with several infrastructural activities underway to boost electricity demand and improve the overall efficiency of the sector. The market is expected to witness strong growth in the coming years due to increasing electricity demand and the government's focus on renewable energy.

Market Segmentation

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Technology

  Thermal
  Renewables
  Hydroelectric
  Nuclear


End-user

  Industrial
  Commercial
  Residential


Source

  Non-renewable
  Renewable


Geography

  India

By Technology Insights

The thermal segment is estimated to witness significant growth during the forecast period. The market is significantly influenced by government policies, population growth, and infrastructure activities. Thermal power technology, which involves generating electricity through the combustion of fossil fuels, remains a crucial component of India's energy mix due to its reliability and cost-effectiveness. Abundant coal reserves in the country make it a readily available and reasonably priced fuel source for electricity generation. The Indian government's focus on increasing electricity access and meeting the rising electricity demand, particularly in rural areas, is driving infrastructural activities in the power sector. Furthermore, the government's initiatives to promote renewable energy, particularly solar energy, are also expected to supplement thermal power generation.

India's large population and rapid industrialization have led to a significant increase in electricity demand, making it an attractive destination for foreign investment in the power sector.

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The thermal segment accounted for USD 346.43 billion in 2018 and showed a gradual increase during the forecast period.

Our market researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

India Power Market Driver

Mitigating carbon footprints and striving for net zero emission is the key driver of the market. The market is experiencing significant growth as a result of the increasing focus on low-carbon and sustainable energy sources. In an effort to reduce carbon emissions in the mining sector and pursue net zero carbon targets, coal and lignite companies are expanding their energy portfolios by investing in solar projects.

Moreover, this includes both rooftop and ground-mounted installations, as well as the development of solar parks on previously mined land. As of May 26, 2023, coal and lignite public sector undertakings (PSUs) collectively boast an installed capacity of approximately 1,656 MW of solar energy and 51 MW of wind energy. Deal types in this sector include debt offerings, acquisitions, and asset transactions, as companies seek to diversify and strengthen their positions in the power market.

India Power Market Trends

Rise in investments in scaling up renewable energy infrastructure is the upcoming trend

Graph and download economic data for Consumer Price Index: Housing, Water, Electricity, Gas and Other Fuels (COICOP 04): Total for India (INDCP040000GPM) from Feb 2013 to May 2019 about water, fuels, India, electricity, gas, CPI, price index, indexes, and price.

Instrument Type: Type of financial instrument traded (e.g., futures contract). Date: Date of the trading data. Segment: Segment of the market (e.g., metal, energy). Commodity: Specific commodity being traded (e.g., gold, crude oil). Traded Contract(Lots): Number of contracts/lots traded. Total Value (Lacs): Total value of trades in lakhs (Indian currency). Avg Daily Turnover (Lacs): Average daily turnover in lakhs (Indian currency).

India WPI: Fuel & Power: Electricity data was reported at 172.300 2004-2005=100 in Mar 2017. This stayed constant from the previous number of 172.300 2004-2005=100 for Feb 2017. India WPI: Fuel & Power: Electricity data is updated monthly, averaging 112.500 2004-2005=100 from Apr 2004 (Median) to Mar 2017, with 156 observations. The data reached an all-time high of 177.200 2004-2005=100 in Dec 2015 and a record low of 99.600 2004-2005=100 in Dec 2004. India WPI: Fuel & Power: Electricity data remains active status in CEIC and is reported by Ministry of Commerce and Industry. The data is categorized under Global Database’s India – Table IN.II057: Wholesale Price Index: 2004-05=100. Rebased from 2004-05=100 to 2011-12=100 Replacement series ID: 387158367