Why is per capita electricity consumption in India so shocking?

Introduction

Secondary source

Efficient form

Effect on economy

Electricity consumption vs Population growth

What's electric power consumption (kWh per capita)

What is GDP?

What is per capita electricity consumption?

Impact on economy

Per capita electricity consumption vs GDP per capita

India's world rankings

1. On electricity consumption:- China, the United States, India, and Russia are the top four electricity-consuming countries in the world. India stands in third place with a total electricity generation of 1.547 trillion kWh per year (as per 2020 statistics).


2. On GDP:- According to data from the IMF's (International Monetary Fund) October 2020 World Economic Outlook, India surpassed China to become the world's fifth largest economy last year. In terms of nominal GDP, the country surpassed France and the United Kingdom. In the last decade, India's GDP growth has been among the greatest in the world, with yearly growth rates averaging 6-7 percent.


3. On per capita electricity consumption:- Based on the most recent data available, India has the lowest per capita energy usage among the BRICS countries. Russia has the highest per capita electricity consumption six times that of India. China comes next to Russia three times that of India. South Africa has four times that of India, whereas Brazil's is higher than 2.5 times that of India.
   
   The BRICS group is made up of five large rising countries: Brazil, Russia, India, China, and South Africa, which together contribute for about 42% of global population, 23 percent of GDP, 30 percent of territory, and 18 percent of global commerce.
   
   India is ranked 125th in the world, with a per capita electricity consumption of 857 kWh in 2020. This is the most worrying factor, though the total electricity production, consumption and GDP figures are at highly appreciable levels.

Why is it shocking?

1. Earlier consumption statistics:- Over the previous decade, India's per capita power consumption has progressively increased, resulting in major gains in rural electrification. In comparison to the rest of the globe, India is still lagging far behind, accounting for just around 30% of the global average. Over the years, India's per capita electricity usage has steadily increased. Per capita consumption increased by 46 percent in eight years, from 734 kWh in 2008-09 to 1075 kWh in 2015-16. Every year, per capita consumption has increased by a middling of 6%. In 2014-15, per capita consumption topped 1000 kWh for the first time. During these eight years, the greatest significant rise in per capita consumption was in 2011-12, when it increased by about 8%.


2. Reliability of supply:- The first and most important element is the dependability of the power source. Efficient resource allocation for electrical infrastructure is an "extremely difficult problem." Power supply in India is frequently less dependable due to the complexity and expense of energy sector administration and investment. Despite the fact that we have sufficient infrastructure to produce energy, the continuity of supply delivery to the consumer end remains uncertain. Consumers are the ones who require power. What is the purpose of having all of these facilities if they can't obtain the energy, they need when they need it? In the wild, a bird in the hand is worth two in the bush! Unreliable electricity supply is a big hurdle in increasing per capita consumption.


3. Electric supply and demand:- Electrical load demand is ever changing and varies according to customer demand. Load prediction is only useful to a limited extent. As a result, the power generation should be modified in accordance with the power demand. It is impracticable to change a generation at every moment. As a result, to satisfy the load requirement, the generation has been altered at frequent short intervals, say every 20 minutes. Advanced real-time control systems and trained staff are required. Despite this, weather conditions have a significant impact on supply-demand matching. Handling the yearly peak demand necessitates a network and generating capacity that, in some circumstances, is only used for a few hours each year.


4. Infrastructure deficit:- India has excess generating capacity but insufficient transmission and distribution facilities. The power generated at the generating stations should be transmitted and distributed to the consumers. Very long transmission and distribution lines are needed and mostly they are widespread. Maintenance and continued operations of these networks are quite challenging and they are prone for cyber-attacks and theft of energy.


5. Energy poverty:- According to World Bank, around 2.18 percent of Indian homes do not have access to electricity though we have excess generating capacity. Because of the remoteness of their place of living, running transmission and distribution lines are extremely difficult.


6. Usage of traditional fuels:- The average electricity tariff in India is about USD0.07/kWh, which is relatively low when compared to other developing nations. Even yet, over 136 million Indians (11%) rely on traditional fuels such as firewood, agricultural waste, and dried animal dung fuel for cooking and general warmth. Despite the fact that they have supply connectivity and that their conventional fuels are not energy efficient, they choose their conservative way of life. The wind cannot be steered!


7. State wise variation in power consumption:- State-by-state consumption patterns differ significantly. The highest per capita consumption is in the Union Territories. Bihar has the country's lowest per capita consumption, at one-sixth of the national average. Bihar is likewise in the same boat as the northeastern states. In general, per capita consumption varies throughout the states, ranging from 311 to 2378 kWh. This varies depending on the area, the weather, per capita income, tariffs, and other factors.


8. T&D Power losses:- The power generated at the generating stations could not be transferred to the customers in its entirety. For technological and administrative reasons, power losses occur throughout the process of delivering electricity to customers. Energy dissipated through conductors, transformers, and other equipment used for transmission, transformation, sub-transmission, and distribution of electricity accounts for the technical losses. These technological losses are unavoidable in any system, but they may be minimized to a certain extent.
   
   Hooking, bypassing, and defective meters, as well as errors in meter reading, estimating unmetered energy supply, equipment breakdown, and low-quality infrastructure, are the main causes of non-technical losses (or administrative losses). The losses, including technical and non-technical, total about 28%. In an ideal situation, T&D losses should be between 6% and 8%.


9. Areas of living:- In India, rural regions account for 65 percent of the population, while urban areas account for 35 percent. In 2020, the number of people living in cities have doubled from 17 percent in 1950, and by 2050, half of India's population will be living in cities. In rural regions, having access to reliable power is a pipe dream. For more remote locations, obtaining energy through a centralized system becomes increasingly difficult, both technically and economically. Local, self-contained electric systems that can generate electricity are therefore a viable option.
   
   The energy needs of city occupants are significantly higher than those of rural inhabitants. This is because city dwellers have a better quality of living, and their way of life necessitates larger energy inputs in all areas of life.

Conclusion