Smart tech powers India's energy needs

Smart grid technology and modern transmission infra are critical for country's renewable-powered economic agenda

A new development model of industrialisation through electrification and renewable energy is powering India’s economic growth.

 

Economic development is increasingly driven by solar power, batteries, electric vehicles, modern grids and other related technologies. This contrasts with the historical experience of Western nations and China, which largely relied on fossil fuels for industrialisation before investing in cleaner energy systems later. 

 

Solar energy combined with battery storage has become significantly cheaper than building new coal plants in India.

 

Generation capacity has expanded rapidly over the last decade, and the government reports that the national energy shortage has significantly improved. India now has more than 500 gigawatts of installed generation capacity and has successfully met record peak demand levels of around 250 GW. Government data shows that the gap between energy required and supplied has fallen from 0.5 per cent in FY2022-23 to nearly zero in FY2025-26, while peak demand shortages have reduced sharply.

 

As it manages the generation challenge, India faces related constraints in electricity transmission and distribution. Demand will require substantial additions to the interstate transmission system. The government estimates that about 61,411 circuit kilometres of new interstate transmission capacity will be required by FY2029-30 to meet national electricity demand and support renewable energy growth. This expansion is necessary to connect renewable energy hubs in states such as Rajasthan, Gujarat, Ladakh, Tamil Nadu, and offshore wind zones to major consumption centres across the country. 

 

Private transmission players are leaning on emerging technologies to accelerate the investment in transmission lines. 

 

“India has a very large opportunity to become an electro-state and a $100 billion exporter of green electrons. But to realise this, we need to build national capacities across the entire electricity ecosystem — from technology and manufacturing to construction and power quality management,” says Pratik Agarwal, chairperson of Resonia and Serentica Renewables. “We already have the technology; the priority now is to build faster, at scale, and create the national champions that can power this transition."

 

Resonia was created after the demerger from Sterlite Power to focus on developing transmission infrastructure. Agarwal says that the company uses artificial intelligence (AI) and emerging technologies for constructing transmission lines and managing power quality. Future-ready drone and autonomous-operation capabilities for constructing transmission lines are helping reduce time and cost. Drone-based stringing of power lines has significantly reduced manual intervention while improving productivity in plain as well as challenging terrain, the company says.

 

 Serentica has also invested in smart technologies. It uses advanced AI and machine learning to forecast energy generation and demand, enabling better operational planning and optimisation. Through digital tools for portfolio management, autonomous scheduling, and asset monitoring, Serentica can optimise the performance of its energy assets. The integration of solar, wind, battery storage, pumped hydro, and grid services into a single intelligent energy ecosystem will help build efficiencies, says Agarwal. 

 

According to estimates, 50 GW of renewable energy is stranded in India because transmission lines have not been built quickly enough to connect generation centres with demand centres. The gap is particularly important in intrastate transmission systems. India should invest nearly ~4.91 trillion ($59 billion) during the 2027–2032 period to expand and modernise its power transmission infrastructure, according to a report by financial consultancy firm InVed.

 

Using smart technologies will accelerate the reduction of transmission gaps. The role of the national and state governments in encouraging the deployment of emerging technologies is critical to ensure economic growth. An integrated approach of using smart technologies that includes generation, transmission and storage will help India meet its energy demands.

 

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The writer is an economic analyst and author