Consumption unusually contracted 1.3% on-year in March; first quarter of fiscal 2024 key to gauge demand dynamics

The rising growth trajectory of power demand bucked the trend in March as unprecedented rainfall brought some respite from prevailing high temperatures. Although the month saw a 1.3% decline in demand, the fourth quarter of fiscal 2023 witnessed 7.0% on-year growth as January and February had seen demand grow 13.7% and 10%, respectively, led by increased heating requirement in winter months and robust economic activity.

In fiscal 2024, soaring temperature and resilient economic activity are expected to keep power demand growing. On average, the first quarter of the fiscal should see power demand grow 4% on-year on a high base of the previous year.