India’s Electricity Demand Expected to Rise by 4,000 TWh, Equivalent to 4 Trillion Units, by 2035: OmniScience Capital

• 3x increase in total power consumption by 2035
• Power Trio of EVs, Data Centers & Railways to be the largest consumer of power
• Per Capita consumption estimated to nearly double (1.85X) to reach more than 2,500 KWh by 2035
• Industry, Transport and Commercial Sector to drive growth of power consumption in India in the next decade

Mumbai : According to the latest report from OmniScience Capital, India’s electricity demand is expected to reach 4,000 TWh (terawatt-hour) and triple by 2035. This surge is powered by industrial expansion, urban growth, and the electrification of transport. Energy transition has become critical for a sustainable future, initiatives and policies such as Net-zero, 500 GW Renewable power target, EV adoption, Rooftop Solar push, and others are driving this transformation. Electricity is the backbone of India’s economic growth transformation and ensuring reliable, clean, and affordable power will be critical.

Power Trio: EVs, DCs & Railways likely to Consume 500 TWh (~12-13% of total) by 2035

According to the report,  by 2035, three transformative sectors— Electric Vehicles (EVs), Data Centers (DCs), and Railways are estimated to be the largest consumers of power, consuming a combined ~500 TWh of electricity, accounting for around 12-13% of India’s total projected power demand of 4,000 TWh. This marks a pivotal shift in the country’s energy landscape, where traditional industrial and residential consumption is now being complemented by these futuristic drivers.

Ashwini Shami, EVP and Portfolio Manager at OmniScience Capital, “India’s electricity demand reaching 4 trillion units by 2035 is not just a statistic—it’s a signal of the country’s accelerating industrial growth, digital transformation, and rising quality of life. This trend unlocks significant investment potential in energy infrastructure, renewable energy, and modernizing the grid.”

Exhibit: Category-wise projected growth in electricity consumption in India from 2023 to 2035

India’s Per Capita Electricity Use likely to nearly Double from 1,400 KWh in 2024 to 2,575 KWh in 2035

The report highlights the reasons behind this growth, which is likely to be rapid economic growth, urbanization, and rising household incomes. As more people move to cities and adopt energy-intensive appliances, and as industries expand under initiatives like “Make in India,” electricity demand will likely surge. The push for digital infrastructure, electric vehicles, and rural electrification is likely to further accelerate usage. Additionally, India’s transition to cleaner, more accessible energy sources will make electricity more affordable and widely available, driving higher consumption across all sectors.

Commercial Electricity Demand Projected to Surge 4.4x by 2035, Growing at a 13.2% CAGR

India’s commercial and other sectors are emerging as powerful engines of electricity demand. From 181 TWh in 2023, consumption in these segments is projected to rise to 798 TWh by 2035, marking a 4.4x increase and a CAGR of 13.2%—the second-fastest among all sectors. This surge is likely to elevate their share to nearly 20% of total electricity consumption, reflecting the country’s rapid shift toward a service-driven, digitally connected economy.

Transport’s Electric Takeoff: Fastest-Growing Power Consumer till 2035 at 16.8% CAGR

 India’s transport sector (EV + Railways) is set to become the fastest-growing consumer of electricity, with consumption projected to surge from 25 TWh in 2022 to 162 TWh by 2035, growing at a CAGR of 16.8%. Major key driver behind this transformation are the accelerated adoption of electric vehicles (EVs), their expansion of charging infrastructure and electrification of railways.

Exhibit: India’s Transport Sector estimated electricity consumption growth from 2023 to 2035