Energy is one of the important primary inputs required for economic development and India being one of fast growing emerging nations of the world the availability and efficient use of energy is very much essential. The demand for and supply of electricity is only expected to increase exponentially in the coming decades. About 300 million people in India do not have access to electricity and many more suffer from erratic power supply from unreliable power grid. Nearly 96% of the villages in India are electrified but only about 70% of the houses have electricity connections. Hence access to reliable and quality power is one of the key development challenges facing our country. India has also committed to increase its share of renewable power to meet the growing need of electricity and achieve its climate change targets.
Traditional approach of fixing quantitative supply targets is no longer appropriate. To address these above challenges there is a greater need for Integrated Resources Planning as different fuels can be substituted for each other for various purposes. If energy system is to be efficient, the policies are to be integrated. With separate ministries concerning the energy sector in India there is always a sub optimal result and hence calls for integrated planning to address various challenges plaguing the electricity sector.