India's Grid Cannot Keep Up With Its Ambitions

India's electricity grid is struggling to accommodate the nation's economic expansion and isn't adequately equipped to handle future data center demand. Goldman Sachs estimates that power required from utilities needs roughly 7.2% annual growth between fiscal years 2025 and 2035, up from a prior 5.6%. India's data center base sits in the low single gigawatts today, but Bernstein forecasts reach 5 to 6 gigawatts by 2030. AI servers draw five to seven times the power of a legacy server rack, according to HSBC. Solar farms can be built in 12 to 24 months, but they flood the grid when daytime demand is comparatively low and then fade as households and commercial loads climb after 5 PM. On Goldman's full-year models, the system runs a 1 to 4% energy deficit by fiscal years 2034 through 2035. Assessments suggest India may need roughly 140 gigawatts of additional coal capacity by fiscal year 2035 versus 2023 levels. The government's current target is roughly 87 gigawatts by fiscal year 2032. Coal plants can run around the clock and can ramp up production during the evening hours to meet surging demand. Some of this coal is bridge capacity to stabilize a faster greening grid, but the scale required exceeds what policymakers have publicly acknowledged or what most analysts expected even two years ago.

Read more of this story at Slashdot.