Power demand rebounds in Jan; Antique bullish on JSW Energy, Adani Power

Antique highlighted JSW Energy and Adani Power as its preferred picks, citing their strong execution visibility

Antique Stock Broking has reiterated its constructive stance on India’s power sector, noting a sustained rebound in demand in January 2026. This positive outlook is supported by improving demand trends, steady renewable energy additions, and easing curtailments. The brokerage highlighted JSW Energy and Adani Power as its preferred picks, citing their strong execution visibility.

 

JSW Energy remains the brokerage’s top large-cap pick with a ‘Buy’ rating and target price of ₹648, citing a locked-in pipeline that underpins strong medium-term Earnigs before interest, tax, depreciation and amortisation (Ebitda) growth through diversified and contracted capacity expansion. Adani Power is its other preferred name with a ‘Buy’ rating and target price of ₹187, backed by execution visibility, capacity ramp-up plans and ongoing deleveraging.

Demand recovers after Q3 weather-related softness

Antique noted that January power demand rose 5 per cent year-on-year (Y-o-Y) in base terms to 143 billion units (BU) despite temperatures being broadly in line with last year, while overall generation increased 2 per cent Y-o-Y. Peak demand touched 245 GW (up 3 per cent Y-o-Y) and the evening peak rose to 214 GW (up 7 per cent Y-o-Y), marking a recovery after Q3FY26’s muted performance attributed to unseasonal rains.

 

Early February (till February 15) data shows electricity demand flat on a high base, but peak demand sustained 3 per cent Y-o-Y growth at 244 GW, with evening peak up 5 per cent Y-o-Y. Antique expects February–March to remain challenging due to high base effects, but said favourable base effects after FY26’s monsoon-related demand suppression could support stronger growth in FY27.  CHECK Stock Market LIVE Updates

Renewables additions remain strong; transition momentum intact

Installed capacity rose to 521 GW, with 7 GW added in January, of which 73 per cent came from renewables. Year-to-date FY26 capacity additions stand at 45 GW, with renewables contributing 89 per cent—including about 35 GW of solar and 5 GW of wind—taking renewables’ share to 41 per cent, the brokerage said. It added that tendering is increasingly shifting toward hybrid and storage, reinforcing the structural energy transition.

Coal stocks comfortable; short-term prices soften on supply

Coal inventories at power plants remained comfortable at 56.1 million tonnes (about 19.6 days, versus 16.5 days a year ago), keeping offtake trends for coal suppliers in check. Antique also pointed to supply-led softness in short-term power prices, with day-ahead market (DAM) prices averaging ₹3.86/kWh, down 13 per cent Y-o-Y, amid ample solar-hour supply.

Renewable Energy and storage tenders pick up

Antique highlighted an uptick in renewable and battery storage tendering in January, including large solar-plus-storage and standalone Battery Energy Storage System (BESS) bids across states. The Draft National Electricity Policy (NEP) 2026, it said, reinforces the transition through measures such as cost-reflective tariffs, mechanisms to promote renewables and storage, and a longer-term push toward grid resilience—though it also flagged discom financial health as important for sustaining tender momentum.

 

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