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India's Power Surplus Might Not Be a Good Thing

  • Country expects power surplus for first time in 13 years
  • Power demand growth slows, misses estimate last fiscal year
Workers connect electricity cables to a transmission pole during an implementation program by the Rural Electrification Corp. in the village of Manpur Kulchaura, Uttar Pradesh, India.
Photographer: Prashanth Vishwanathan/Bloomberg
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India expects to have a surplus of power for the first time in at least 13 years, a sign that the country’s goal of full electrification may be lagging.

The country’s power plants are forecast to produce 8.8 percent more electricity than its distributors will demand during the year to March, the Central Electricity Authority said in an annual generation report last week. That would be the only surplus in records going back to the year ended March 2006.