Speaking at India Energy Storage Week, he said the proposed transmission link is part of India's broader vision of "One Sun, One World, One Grid".
Lal added that India is also pursuing similar power connectivity projects with Sri Lanka and Singapore, with the objective of creating an east-to-west electricity grid that could eventually facilitate power trade with Europe. "We are going to Sri Lanka and Singapore, and we are moving ahead for supply even beyond Singapore through maritime routes," he said.
Highlighting the growing importance of energy storage, the minister said the country increasingly needs to store electricity generated during periods of surplus and use it when demand peaks during non-solar hours. "To reduce carbon dioxide emissions and achieve net zero in line with the Nationally Determined Contributions (NDCs), green energy must become our need of the hour," he said.
Highlighting that electricity demand is expected to rise sharply with the expansion of data centres, artificial intelligence (AI) and electric vehicles (EVs), he said: "Peak demand, which reached around 271 GW earlier, could touch nearly 300 GW next year, requiring greater investments in storage, transmission and generation infrastructure."
"We must ensure that every form of utility can be produced within our own country; only then can we secure the nation. For the power sector, the government has framed many policies, and more will be required in the future. We will work on the suggestions that have come from here," he said.
Lal also highlighted the government's policy measures to accelerate renewable energy deployment, including the waiver of inter-state transmission system (ISTS) charges, Green Energy Open Access Rules, and time-of-day tariffs. These initiatives will improve market access for renewable power developers, he said.
India’s peak power demand set to hit 300 Gw next year
India’s peak power demand is set to hit a new high of 300 Gw next year on the back of rapid expansion of data centres, artificial intelligence, and electric vehicles, Power Minister Manohar Lal said on Wednesday.
Speaking at the 12th India IESW 2026 in the national capital, the minister highlighted that according to estimates, India has already reached (peak power demand of) 271 GW, and projections suggest the peak may rise even further this year. India’s peak power demand jumped to a record high of 270.82 Gw in May, according to ministry data.
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