The Future Of Power Transmission: Trends Shaping The Next Decade

According to the International Energy Agency, renewable energy is expected to grow from 30% in 2023 to 46% by 2030. From 2014 to today, India’s solar capacity has increased over 34 times, while wind capacity has doubled

As the global energy landscape rapidly evolves, the power transmission sector finds itself at the forefront of this transformation. The convergence of technology, sustainability, and societal demands has created unprecedented challenges, but also remarkable opportunities. From the electrification of transportation to the rise of renewable energy, our industry is being reshaped by trends that will define progress over the next decade. Energy security is essential for economic growth, particularly in a fast-growing country like India. Traditionally, our energy mix relied heavily on conventional sources like fossil fuels. However, with growing concerns over global warming and India’s commitments under the Paris Agreement, we are transitioning to renewable energy sources.

In this article, I explore key drivers of change in power transmission and how we, as industry leaders, must innovate and adapt to ensure a sustainable and resilient future.

1. The Electrification of Everything

The shift from fossil fuels to electricity marks a fundamental transformation. With the electrification of transportation, heating, and even industrial processes, electricity is poised to become the dominant energy source across all sectors. The share of electricity in final energy consumption is projected to rise from 20% today to over 50% by 2050 in the Net Zero Emissions by 2050 scenario. India’s manufacturing sector growth, boosted by initiatives like “Make in India” and “Vocal for Local,” has also increased electricity consumption nationwide. The National Electricity Plan (NEP) Volume-2 estimates the projected peak demand of 458 GW (including 70 GW of green hydrogen/green ammonia demand) by 2032.

For the power transmission sector, this surge in demand poses a significant challenge. Growing industrial clusters and demand-supply imbalances require the addition of new transmission capacity. Meanwhile, many existing grids, designed decades ago, need upgrades to handle the increased load and complexity brought by widespread electrification.

2. The Integration of Renewable Energy

The United Nations’ ‘Net Zero Emissions by 2050’ target is driving a shift towards cleaner energy sources like wind and solar. While these sources offer environmental benefits, their intermittent nature complicates grid integration, making investments in energy storage and advanced grid management essential.

According to the International Energy Agency, renewable energy is expected to grow from 30% in 2023 to 46% by 2030. From 2014 to today, India’s solar capacity has increased over 34 times, while wind capacity has doubled. With renewables now accounting for ~42% of installed capacity, India has set an ambitious target of 500 GW of non-fossil installed capacity by 2030. Integrating renewables will require smart grids, advanced forecasting, and demand-side management. The Green Energy Corridor (GEC) is already being implemented across states like Gujarat, Rajasthan, and Andhra Pradesh, providing critical infrastructure support.

Battery Energy Storage Systems (BESS) and Pumped Storage Systems (PSP) can further stabilise supply by addressing weather-related inconsistencies in renewable generation.

3. Smart Grids: The Backbone of the Future
Smart grid technology is one of the most transformative innovations in the power sector. With real-time monitoring, automation, and data-driven optimisation, smart grids offer unprecedented control over energy flows. By dynamically adjusting to demand fluctuations and integrating distributed energy resources, smart grids enhance reliability and efficiency.

India’s National Smart Grid Mission, launched in 2015, aligns with initiatives like the Green Energy Corridor, Smart City Mission, and PM SAUBHAGYA scheme, creating a connected and sustainable ecosystem. As per some estimates, the global smart grid market is projected to reach USD 161.1 billion by 2029, growing at a CAGR of 17% from 2024 to 2029. Investment in smart grids is essential not only for smooth renewable integration but also for managing complex demands such as EV charging and decentralised power generation.

4. Digitalisation and Automation

The power transmission industry is on the brink of a digital revolution. By leveraging technologies such as artificial intelligence (AI), data analytics, and the Internet of Things (IoT), we can optimise grid operations, predict maintenance needs, and enhance decision-making. Automation reduces human error and enables remote monitoring and control, making operations more efficient and less prone to disruption.

The Central Electricity Authority’s 2022 regulations support the adoption of advanced technology, while the Power Ministry’s task force encourages the use of AI and machine learning for transmission line maintenance. The global power grid automation market is experiencing significant growth, driven by demand for reliable, efficient, and sustainable solutions.

However, as we embrace digitalisation, cybersecurity must be a priority to protect critical infrastructure from cyber threats.

5. The Growing Role of Energy Storage

Energy storage technologies are indispensable for managing the variability of renewable energy. By storing surplus power during peak generation and releasing it during high demand, storage systems stabilise the grid and reduce reliance on fossil fuels. Battery storage and pumped hydro are promising solutions for integrating renewable energy into the grid.

According to BloombergNEF, the global energy storage market is expected to grow at 21% annually to 137 GW/442 GWh by 2030. In India, the latest National Electricity plan Vol-2 envisages ~47 GW of BESS to be available by 2032 along with renewable capacity additions to meet the projected electricity demand.

6. The Impact of Climate Change

Climate change presents both challenges and opportunities for power transmission. Rising temperatures, extreme weather events, and wildfires are straining existing infrastructure, with power lines, substations, and towers vulnerable to climate-related damage.

To mitigate these risks, resilient infrastructure is essential. This includes disaster preparedness, advanced materials for transmission lines, and monitoring systems to detect vulnerabilities before they lead to failures.

7. Sustainability and the Circular Economy

Sustainability must drive every innovation in power transmission. Beyond reducing emissions, a circular economy approach—recycling materials, extending equipment lifespans, and promoting energy efficiency—can minimise environmental impact. Leading companies are already implementing sustainability initiatives, from reducing transmission losses to using eco-friendly construction techniques. These efforts contribute to environmental goals and strengthen their market position in a global shift toward sustainability.

8. Cybersecurity: Safeguarding the Grid

As grids become more interconnected and reliant on digital technologies, cybersecurity is an increasing concern. A cyberattack on a power grid could disrupt supply to millions and cause severe economic damage. Investing in robust cybersecurity measures is essential to protect infrastructure from potential threats.

A multi-layered approach—emphasising network security, data protection, and incident response—is necessary to safeguard grids. In September, the Ministry of Power inaugurated a Computer Security Incident Response Team (CSIRT) to enhance cybersecurity resilience in India’s power sector.

Powering the Next Decade

The future of power transmission is shaped by technological innovation, regulatory shifts, and evolving consumer needs. Moving forward, our focus must remain on building a resilient, sustainable, and efficient grid that can meet future demands. By embracing smart grids, energy storage, digitalisation, and sustainability, we can transform power transmission, ensuring a greener and more prosperous world for future generations.

(The above given article has been written by Rajesh Ganesh, CEO and MD, Bajel Projects)

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Rajesh Ganesh

Guest Author Rajesh Ganesh, MD and CEO, Bajel Projects

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