Analyst Insight: The Role of AMI in Indian Infrastructure Development

India began its push toward grid modernization in the mid-2000s with the implementation of various electrification and network upgrade programs. Driven by the need to improve grid reliability and reduce system losses, India’s Ministry of Power (MoP) has made an aggressive effort to jump-start this nascent smart grid market. Government-sponsored initiatives have evolved from simple electrification schemes and basic IT infrastructure to include smart metering, grid automation, distributed energy resources (DER) integration, and more.

With more than 360 million traditional electric meters deployed at year-end in 2021, India represents the largest untapped smart meter market in the world. The Indian smart meter market, while still in its infancy, is set for rapid growth as a function of the country’s aggressive rollout strategy. The country is now targeting the installation of 250 million smart meters by 2025. Although the industry has expected market expansion for some time, current market conditions are aligning to support the first signs of full-fledged smart grid development in India. This market growth will likely be driven by demographic factors (growing urbanization rates, consumption patterns, and gross domestic product) and positive (government support) and negative (grid reliability and system losses) operational drivers. Challenges remain—particularly with regards to financing.

This Guidehouse Insights report provides a comprehensive resource for announced AMI (smart meter) projects and associated vendors. This report offers information regarding smart electric meter deployments announced through 4Q 2021, including estimates for installed smart meters. Information is based on published announcements from vendors, utilities, news agencies, and public filings, among other sources.