Contents
Executive Summary 2
1. Introduction 4
2. Demand of power 4
2.1 Energy demand with respect to sector has been continuously changing in India. 5
2.1.1 Agricultural sector 5
2.1.2 Industrial sector 5
2.1.3 Domestic Sector 5
3 Supply of power 5
4. Indian Power sector Growth – Recent and Future 5
5. Transmission and Distribution – 6
5.1 National Power Grid 7
5.2 Losses in T & D 7
5.3 Measures that can be taken to reduce losses are: 8
5.3.1 For Technical losses: 8
5.3.2 For Commercial losses: 8
6. India’s energy mix – Future investment required 8
7. Environmental issues 9
8. Sources of power 9
8.1 Coal 9
8.2 Natural Gas 10
8.3 Hydro power 10
8.4 Nuclear sources of power 10
8.5 Renewable sources of power 11
8.5.1 Solar power 11
8.5.2 Wind power 11
8.5.3 Biomass power 11
9. Regulatory changes 12
10. Disinvestment & consolidation 12
11. Challenges: 13
Appendix: 14
Appendix I 14
Appendix II 14
Appendix III 15
Appendix IV 16
Appendix V 16
Appendix VI 16
Appendix VII 17
References: 18

Executive Summary
Availability of power is one of the important ingredients for industrial growth. It is an important infrastructure facility without which any industrial activity cannot be thought of in modern times.
In the report, the main parameter used is the increase in the demand of power in India. Assuming a growth of 8%, the projected energy demand will be about 3600 billion kWh, almost 5 times the current demand. Based on the demand growth and the energy mix proposed in the next five year plan and assuming private sector participation of 40%, it is found that a capital of Rs 2 lakh crores needs to be raised through capital and money markets by private sector in India. An equal amount of money needs to be invested for the transmission & distribution too. As such capital markets will play a major role to raise funds to help create