Uttar Pradesh is facing a multi-layered power challenge this summer as, apart from stress on the transmission and the distribution networks due to unprecedented demand amid intense heatwaves, the state is also grappling with a generation side shortfall because electricity is unavailable on the energy exchange for purchase to meet the peak requirement.
The state power utility has been placing bids on energy exchanges every day to procure additional electricity to bridge the demand-supply gap during peak hours in the late evening, but officials said it had not been able to purchase even a single unit in recent days because surplus power is simply not available in the market.
“Uttar Pradesh Power Corporation Limited (UPPCL) had traditionally relied on energy exchanges to manage peak demand during summer months. However, with almost all states witnessing exceptionally high demand simultaneously this year, the usual source of short-term procurement has become ineffective,” a senior UPPCL official said.
The state’s power demand touched the highest level of the current season on Sunday night at 31,804 megawatt, not only in Uttar Pradesh but also among the highest in the country, officials said. Demand is expected to rise further in the coming days as temperatures remain high.
Officials explained that during daytime hours, solar generation provides some relief and helps narrow the gap between supply and demand. The bigger challenge, however, emerges during the night when solar power is unavailable and demand further rises.
The situation is expected to remain difficult until the onset of the monsoon in several parts of the country, which could reduce cooling demand and ease pressure on the power market.
“Every state currently requires power and therefore has very little or no surplus electricity to sell on the exchange,” the official said.
People familiar with the matter said whatever limited power was becoming available on the exchange was being sold at the ceiling rate of ₹10 per unit, reflecting the severe demand pressure.
Chief minister Yogi Adityanath, while reviewing the situation on Sunday, directed officials to procure as much power as required and said financial constraints should not come in the way of ensuring supply.
Officials, however, maintained that the challenge was no longer about money but availability.
They said bilateral arrangements under the banking system with several states had emerged as a major support mechanism and are helping Uttar Pradesh manage the situation. Under such arrangements, states supply electricity to each other and adjust the balance later.
Despite the peak deficit exceeding 2,000 mw, officials claimed that no additional load shedding was being undertaken and that supply was being managed through redistribution of load.
UPPCL managing director Nitish Kumar said it was true electricity was not available on the energy exchanges for purchase as the entire country was facing a historic demand this year.
“But we are still managing by redistributing the rural load and seni-rural load instead of resorting to any additional load shedding,” he claimed.
Sources, however, indicated that a part of the crisis was also translating into power shortages on the ground and resulting in undeclared outages in some areas.
As per the official data, on Sunday when the peak demand crossed 31,000 mw in the late evening, Uttar Pradesh was getting 10.573 mw as its share from the Central sector power plants, while the state sector generating stations contributed 16,664 mw, including 6,426 mw from the state-owned UPRVUNL plants, total being 27,237 mw.