India's electricity consumption could nearly double by 2035: IEA

India's transition toward greater electrification is set to accelerate over the coming decade, with the transport sector emerging as the primary growth driver, according to findings from the International Energy Agency. The agency's analysis indicates the nation's overall electrification rate could expand from its present level of 19 per cent to 32 per cent by 2035, marking a significant shift in energy consumption patterns.

The projected growth reflects India's expanding adoption of electric vehicles, which is expected to reshape the country's energy landscape and demand profile. As more consumers and commercial operators shift toward battery-powered transportation, electricity's share in overall energy consumption will correspondingly rise.

Beyond the transport sector, the electrification trend is anticipated to have cascading effects across India's economy and energy security. The increased reliance on domestically-generated electricity could reduce the country's dependence on imported fossil fuels, thereby lowering its overall energy import bill—a significant consideration for the nation's fiscal management and economic stability.

The transition presents both opportunities and challenges for India's power sector, which will need to expand generation capacity and strengthen grid infrastructure to meet rising demand. Policymakers are increasingly prioritizing renewable energy sources and grid modernization as key components of the electrification roadmap.