India’s household electricity use is being reshaped by soaring demand for cooling.
Fans, air conditioners and coolers now consume 40% of residential power.
Overall use has nearly doubled in a decade.
The trend is driven by urban, affluent households, uneven access to efficient appliances and rapidly rising cooling needs in hot, dry regions.
Amid increasing heat every passing year, India’s rising appetite for cooling appliances is rapidly reshaping household electricity demand. A new report showed that thermal comfort devices now account for the largest share of residential power consumption.
Cooling devices like fans, air conditioners and air coolers, account for 40 per cent of household electricity use among surveyed homes, found the authors of the report.
Residential Energy Consumption Patterns and Appliance Ownership in India: Insights from a 2024 Household Survey by CLASP and the Bureau of Energy Efficiency (BEE) is based on interviews with 4,321 households across 20 states and major climatic zones.
This comes in the backdrop of India’s rapidly evolving energy landscape, driven by a growing population, an expanding economy and growing access to modern energy services. With a population exceeding 1.4 billion, India’s residential sector is a key contributor to the country’s overall electricity consumption.
As of the 2024-25 financial year (FY25), it accounted for 25 per cent of the total electricity usage in the country, with an annual growth rate of 6 per cent, according to provisional data from the Central Electricity Authority.
India’s overall electricity consumption nearly doubled from 874 terawatt-hours in 2013-14 to 1,623 twh in 2023-24, growing at a compound annual growth rate of 5.8 per cent, according to the report. Peak electricity demand also rose by 79 per cent during the same period, from 136 gigawatts (GW) to 243 GW.
The survey estimated average annual household electricity consumption among sampled homes at around 1,805 kilowatt-hours (kwh) per household. Urban households consumed an average of 1,937 kwh annually, significantly higher than the 1,486 kwh recorded in rural homes.
Hot and dry regions reported the highest electricity consumption levels, with urban households consuming 2,090 kwh per household annually.
“Cooling demand is a major driver of electricity use, particularly in urban and affluent households,” the report said, adding that inefficient appliance models continue to dominate many homes.
The survey found near-universal ownership of ceiling fans and light-emitting diode lights. However, ownership of energy-intensive appliances remains uneven. Air conditioners were present in 17 per cent of urban households but only 4 per cent of rural homes. Overall, 13.3 per cent of surveyed households reported owning air conditioners.
Among air conditioners owned by surveyed households, 33 per cent were five-star rated, 18 per cent were four-star rated and 40 per cent were three-star rated, according tothe BEE star labelling system.
The report also flagged the rapid growth in cooling demand. Referring to projections under the India Cooling Action Plan, it said national cooling demand is expected to grow eightfold by 2037-38 compared to 2017-18 levels.
Kitchen appliances emerged as the second-largest contributor to electricity consumption, accounting for 28 per cent of household use. Refrigerators alone contributed 18 per cent.
The survey highlighted stark differences in appliance ownership between urban and rural India. Refrigerators were owned by 76 per cent of urban households compared to 36 per cent in rural areas. Washing machine ownership stood at 29 per cent in urban homes but just 6 per cent in rural households.
The study also revealed a strong link between income levels and energy consumption. Higher income urban households recorded the highest annual electricity use at 2,249 kilowatt hours.
Affordability continues to shape purchasing decisions, especially among lower-income households, according to the report. Nearly half of respondents identified appliance cost as a key factor influencing purchases.
The BEE and CLAS called for stricter Minimum Energy Performance Standards for high-impact appliances such as air conditioners and refrigerators. It also recommended financial incentives, targeted subsidies and bulk procurement programmes to accelerate adoption of efficient appliances.
They further recommended regular household energy surveys, greater consumer awareness campaigns and studies to assess the impact of rising cooling and electric cooking demand on India’s power grids.