Smart substations are catalysts for  growing power sector

Electricity demand in India is surging. There is a massive growth in the renewable energy sector. At the heart of this evolution lies the need for a robust, future-ready transmission and distribution (T&D) infrastructure. Bajel Projects Limited, a key EPC player, contributes significantly to this national mission. Formerly a part of Bajel Electricals until 2023, Bajel Projects has a legacy of over two decades and has been a pioneer in manufacturing lattice structures and monopoles. Today, the company is crucial in executing transmission lines and substation projects across India and abroad.

The Indian power sector has witnessed remarkable growth in supply. In FY24, the overall supply stood at approximately 435 GW, rising to 470 GW in FY25. This surge is largely attributed to extensive solar capacity additions, a trend to accelerate in the coming years. By FY32, India is expected to have a generation capacity of around 1000 GW, nearly double the current levels. This expansion includes a substantial increase in solar power, which currently forms 19 per cent of the energy mix and is projected to rise to 39 per cent by FY32. Concurrently, peak demand—now around 250 GW—is projected to touch 458 GW, factoring in the upcoming load from emerging sectors like green hydrogen and green ammonia.

The country’s T&D infrastructure needs a proportional upgrade to support this exponential growth. According to the Central Electricity Authority (CEA), the government will need to add nearly 42 per cent more circuit kilometres over the next decade than all additions made. On the substation front, capacity is expected to leap from 1 million MVA to approximately 2.3 million MVA by FY32. This expansion will be driven equally by interstate and intrastate projects. While these projections are ambitious, many experts believe they are still conservative in light of India’s Viksit Bharat 2047 vision, which anticipates a peak demand of 700 GW. Therefore, planning must extend beyond the next decade to ensure that infrastructure remains viable for 20–25 years.

Substation capacity, a critical cog in the T&D wheel, saw substantial additions in the past year alone. India added around 86,000 MVA in substation capacity—a 22 percent increase from the previous year. States led the charge, followed by central entities like PGCIL and private players. PGCIL alone operated 276 substations in the previous fiscal year, of which 216 were Air-Insulated Substations (AIS) and 60 were Gas-Insulated Substations (GIS). Given the increasing space constraints and the need for reliability, GIS substations are now gaining prominence. GIS substations offer several advantages over traditional AIS. They require 60–75 percent less land, making them ideal for densely populated urban areas and industrial zones. They also perform better in harsh environmental conditions, such as flood-prone or high-wind regions, requiring lower maintenance and delivering higher reliability. Though they come with a higher initial cost, their overall cost of ownership—factoring in savings on land, manpower, and maintenance—is significantly lower. This makes GIS substations a more sustainable and efficient choice.

Several megatrends are pushing the shift toward GIS and smart substations. First, India’s data centre capacity is set to rise from 1 GW today to 17 GW by 2030—a 17-fold increase. These facilities, which are energy-intensive and space-constrained, are ideally suited for GIS substations. Second, sustainability imperatives are prompting a move away from SF6-based equipment and toward more energy-efficient and environmentally friendly alternatives. Lastly, integrating smart grids necessitates substations that are compact and reliable, digitally connected, and remotely operable. Smart substations are integral to building an intelligent and agile power network. India’s traditional grid systems were not designed with significant redundancy, leading to frequent outages. Introducing Loop in Loop Out (LILO) systems helped add redundancy, but the real game-changer is smart substations. These substations are equipped with SCADA and substation automation systems, allowing for remote monitoring and control. Upgrading older substations to smart configurations and ensuring interoperability through standardised communication protocols like IEC 61850 are essential next steps.