Overdependence on outside supply, poor local generation behind J&K’s power shortage
Srinagar, Jul 21: Chronic overdependence on short-term electricity markets, stagnation in local power generation, and poor integration with the national grid are among the primary reasons behind Jammu and Kashmir’s recurring power shortages, particularly during winter months.
These observations have been officially recorded in the minutes of the 54th Technical Coordination Committee (TCC) and 79th Northern Regional Power Committee (NRPC) meetings held recently.
According to the minutes, the Northern Regional Load Despatch Centre (NRLDC) flagged several operational challenges specific to J&K, noting that the UT’s power grid remains weakly connected with the rest of the country. The region’s isolated location, coupled with its heavy reliance on hydroelectric power—which declines significantly during winter—has resulted in consistent grid instability from November to February.
The official note further points out that J&K has not added significant internal generation capacity in the last 4–5 years. As a result, rising electricity demand is being met by importing power from outside the UT. During the lean winter season, 40–50% of this imported electricity is procured from the day-ahead and real-time markets.
Officials expressed concern that such a high level of dependence on market-based purchases leaves J&K highly vulnerable to price surges and trading restrictions.
"It was also highlighted that on several occasions in recent years, J&K has faced shortages even when other states in the country had surplus availability. This was often due to either limited procurement or J&K being barred from participating in exchanges over pending payment issues."
The minutes of the meeting also record that in October 2024, J&K had high overdrawals from the grid, resulting in significant deviation charges. Similar trends were observed in 2023–24. With October typically witnessing peak demand across the country, power prices tend to be elevated, making market purchases particularly expensive.
To address these structural issues, the Committee recommended that J&K take urgent steps to strengthen its transmission and distribution systems and focus on improving resource adequacy to reduce dependence on short-term market purchases. NRLDC has been raising these concerns repeatedly in earlier meetings, including the 52nd TCC and 77th NRPC held in December 2024.
As per the meeting minutes, a physical review meeting was also held in Jammu on February 6, 2025, attended by representatives of all major utilities and the Managing Director of JKPTCL. It was during this session that specific corrective actions were identified.
The J&K representative informed the forum that load curtailment measures are already being implemented by DISCOMs and the SLDC to control grid drawals. Member (GO&D), CEA, suggested that J&K consider entering into power banking arrangements with other states whose demand patterns are complementary.
Chairman NRPC observed that the Electricity Act, 2003, was implemented in J&K only in 2019, after which several reforms were initiated. These include the corporatization of the Power Development Department (PDD) and a reduction in distribution losses from over 60% to around 40%. The target is to bring these losses below 20%.
So far, smart meters have been installed in around 8 lakh of the 22 lakh electricity connections in the UT, with full coverage planned in the next 18 to 24 months. J&K has also begun awarding transmission projects under the TBCB mode to fast-track implementation.
On the generation side, four projects with a combined capacity of 3,500 MW are in advanced stages of construction, with two expected to be commissioned next year. In addition, J&K has signed Power Purchase Agreements (PPAs) for about 3,500 MW, with delivery expected in the next 18 months to three years, the official document said.
The UT is currently sourcing 300–350 MW under the SHAKTI policy and implementing capacity upgrades under the PMDP scheme. Around 40% of work under the Revamped Distribution Sector Scheme (RDSS) has also been completed.
According to the officials, while both short-term and long-term measures are underway, it will take time before J&K sees substantial relief from winter power shortages.
