India’s Power Sector Poised For $500 Billion Investment Over Seven Years

Union Minister of Power Manohar Lal has highlighted a significant investment opportunity in India’s power sector, estimating a potential of $500 billion (around ₹4,54,350 crore) over the next seven years. Speaking at the curtain raiser for the Bharat Electricity Summit 2026, the minister provided a detailed breakdown of the investment. He noted that $346 billion is expected to be directed towards electricity generation, $68.2 billion towards transmission and distribution infrastructure, and $35.2 billion towards the growing energy storage sector.

The minister reflected on the remarkable transformation of the sector over the past decade. He said that while earlier discussions focused on addressing shortages and meeting basic electricity needs, the focus has now shifted to managing surplus, improving resilience, and delivering universal excellence. He emphasized that power shortages in the country have dramatically reduced from 4.2% in 2014 to just 0.03% in 2025, indicating a significant improvement in supply reliability.

Pankaj Agarwal, Secretary at the Ministry of Power, supported the minister’s outlook, highlighting that India represents a high-growth market with enormous untapped potential. He noted that the opportunities in the power sector are immense, covering generation, transmission, distribution, and storage. The summit is expected to bring together stakeholders to discuss strategies for investment, policy reforms, and technological innovation in the sector, signaling a major phase of growth and modernization for India’s electricity landscape.