India’s AI data centres are projected to consume 26.3 gigawatts (GW) of power by fiscal year 2031-32, nearly doubling previous estimates, the Ministry of State for Power Shripad Naik said in a parliamentary reply. This additional load will be primarily met through renewable energy sources, as overall peak electricity demand is expected to exceed 388 GW by March 2032, according to inc42.com.
The ministry is addressing this growing demand by building transmission infrastructure in phases and increasing capacity, including renewables. Discussions with industry stakeholders are ongoing to ensure reliable power supply and to embed transmission and grid balancing solutions that can manage the spiky load from data centres. The government is also exploring locating data centres away from urban areas to reduce transmission congestion, inc42.com reported.
This projection marks a significant increase from the government’s March estimate of 13.56 GW power demand from data centres by FY32. The rising power needs reflect the rapid expansion of AI infrastructure in India, with major conglomerates like the Adani Group announcing plans for large-scale AI data centre clusters. The focus on renewable energy integration aligns with India’s broader energy transition goals.
The Ministry of Power’s latest data highlights the scale of infrastructure upgrades required to support AI growth, with the government actively engaging industry players to balance grid stability and capacity. The next key milestone will be the implementation of transmission projects designed to accommodate this 26.3 GW AI data centre load by 2032, inc42.com stated.