India's power sector could see Rs 40 trillion investment in a decade: MO
POWER & RENEWABLE ENERGY

India's power sector could see Rs 40 trillion investment in a decade: MO

The power sector in India presents significant investment opportunities estimated to exceed Rs 40 trillion over the next decade, according to a report by brokerage firm Motilal Oswal.

Out of this estimated Rs 40 trillion, Rs 34 trillion is projected to be allocated toward capital expenditure, with the remainder expected in optional investments. Generation, transmission, and smart metering are anticipated to account for 86%, 10%, and 4% of the total investments, respectively.

The report highlighted several factors driving this substantial investment, including the accelerated compound annual growth rate (CAGR) of power demand, the need to upgrade or replace aging infrastructure as the energy mix shifts, and the transition toward cleaner energy sources.

India, the report noted, is in a unique position where rapid growth in real GDP per capita, technological advancements, and increased electrification are strong underlying forces that could sustain higher power demand for years. The brokerage firm stated that, given India's strong GDP growth prospects and the rise of new demand drivers such as electric vehicles (EVs), data centres, and the electrification of energy demand, power consumption in the country could grow by more than 7% annually over the next decade, currently ranging between 8-9%.

By 2035, the report predicted that EVs and data centres would drive one-third of India’s power demand growth. While these sectors currently account for a negligible portion of the country's power demand, the brokerage estimated that by 2035, a significant share of growth could be attributed to them.

India's current primary energy and electricity consumption trends closely resemble China's patterns in the early 2000s. Motilal Oswal also suggested that power consumption in India is at a pivotal point, with an expected annual growth rate of 6.5-7% over the next decade. This growth is likely to compound at 7-7.5% over the next 10 years, compared to the 5% CAGR seen in the previous two decades.

The power sector in India presents significant investment opportunities estimated to exceed Rs 40 trillion over the next decade, according to a report by brokerage firm Motilal Oswal. Out of this estimated Rs 40 trillion, Rs 34 trillion is projected to be allocated toward capital expenditure, with the remainder expected in optional investments. Generation, transmission, and smart metering are anticipated to account for 86%, 10%, and 4% of the total investments, respectively. The report highlighted several factors driving this substantial investment, including the accelerated compound annual growth rate (CAGR) of power demand, the need to upgrade or replace aging infrastructure as the energy mix shifts, and the transition toward cleaner energy sources. India, the report noted, is in a unique position where rapid growth in real GDP per capita, technological advancements, and increased electrification are strong underlying forces that could sustain higher power demand for years. The brokerage firm stated that, given India's strong GDP growth prospects and the rise of new demand drivers such as electric vehicles (EVs), data centres, and the electrification of energy demand, power consumption in the country could grow by more than 7% annually over the next decade, currently ranging between 8-9%. By 2035, the report predicted that EVs and data centres would drive one-third of India’s power demand growth. While these sectors currently account for a negligible portion of the country's power demand, the brokerage estimated that by 2035, a significant share of growth could be attributed to them. India's current primary energy and electricity consumption trends closely resemble China's patterns in the early 2000s. Motilal Oswal also suggested that power consumption in India is at a pivotal point, with an expected annual growth rate of 6.5-7% over the next decade. This growth is likely to compound at 7-7.5% over the next 10 years, compared to the 5% CAGR seen in the previous two decades.

Next Story
Real Estate

Dubai Real Estate Sales Reach AED48 Billion

Dubai’s real estate market recorded 13,977 sales transactions worth AED48 billion in April 2026, reflecting continued resilience across residential and commercial segments.According to a market update by fäm Properties, sales volume rose 3.5 per cent month-on-month compared to March, while total sales value increased by 10.7 per cent. The commercial sector, including offices and shops, recorded the strongest growth, with 561 transactions valued at AED4 billion, up 33.9 per cent year-on-year and 36.2 per cent month-on-month.Apartment sales rose 6.5 per cent month-on-month to 11,377 transacti..

Next Story
Real Estate

Casagrand Launches 35-Acre Hyderabad Project

Casagrand has launched Casagrand Vybe, its largest residential project in Hyderabad, spread across 35 acres in Rajendra Nagar. The launch marks the company’s fifth residential rollout in 2026 and strengthens its expansion momentum in the city.As part of its Hyderabad growth strategy, Casagrand is adding 3.98 million sq ft of residential space to its portfolio. Since entering the Hyderabad residential market in 2023, the company has scaled its presence with projects across key micro-markets. In 2025, it launched four projects — Casagrand Evon, Casagrand Windsor Court, Casagrand Belair and C..

Next Story
Technology

Bentley Event Spotlights AI Infrastructure

Bentley Systems recently hosted Illuminate Mumbai 2026, bringing together infrastructure leaders, policymakers, technology experts and academia to discuss how AI-driven engineering and digital twins can accelerate India’s journey towards Viksit Bharat 2047.The event focused on scaling intelligent and connected infrastructure ecosystems beyond digital adoption. Discussions covered the use of infrastructure AI, open data environments and digital twin technologies to improve project delivery, sustainability and long-term asset performance across key sectors.Kamalakannan Thiruvadi, Regional Exec..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement