Making India's Grid Ready for the Renewable Era

As the country moves towards 500 GW of renewable capacity and prepares for the next phase of expansion, this supporting infrastructure will continue to evolve. Digital substations are one part of that evolution.

September 09, 2026. By News Bureau

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India's energy transition is entering a phase where the conversation is gradually moving beyond adding renewable generation capacity to considering how the wider power system will evolve alongside it. As solar and wind capacity expands across the country, the transmission network connecting these sources to centres of demand will have an increasingly important role to play.

By 2030, India is targeting 500 GW of renewable capacity, with the figure expected to rise further in the years that follow. At the same time, battery storage and pumped hydro are emerging as important components of the power system, helping manage the variability associated with renewable generation. Supporting this evolving energy mix will require substantial investment in transmission infrastructure. The Central Electricity Authority's National Electricity Plan envisages more than INR 9 lakh crore of investment through 2032 across transmission lines, substations and associated infrastructure.

In my view, the transmission network is what will ultimately decide whether India's renewable ambitions translate into reliable power on the ground. With over INR 9 lakh crore earmarked for transmission investment through 2032, and more than 114,000 circuit kilometers of new lines planned in the current five-year period alone, the sector is not simply building more infrastructure, it is building a fundamentally different kind of grid, one that has to absorb power from sources that are variable, geographically dispersed and increasingly paired with storage. This is precisely why I believe digitalisation cannot be treated as a later-stage upgrade.

At this scale and pace of commissioning, we get one shot at building in visibility and intelligence from day one, utilities and EPC players won't see this window again for a generation

The scale of this expansion also presents an opportunity to think about how this infrastructure is designed and operated. A power system with more variable generation, geographically dispersed assets and increasingly interconnected networks will require greater visibility, coordination and responsiveness.

This is where the evolution of the substation becomes particularly relevant.

The Evolution of the Digital Substation

Traditionally, substations have relied extensively on hardwired connections between transformers, protection relays, control panels and other equipment. With digital technologies and standards such as IEC 61850, parts of this architecture are increasingly being replaced by fibre-optic networks and digital communication. The change may appear technical, but its implications extend across how substations are designed, commissioned, monitored and maintained.

At the centre of this transition are technologies such as merging units, GOOSE (Generic Object-Oriented Substation Event) messaging and process-bus architectures. These enable electrical signals and protection information to be digitised and communicated across a common network rather than being dependent entirely on dedicated copper connections.

This creates a different flow of information within the substation. Data from equipment can be collected, time-stamped and shared across systems, allowing operators to gain a more detailed view of the condition and performance of assets.

For utilities, this can translate into several practical advantages. Reduced cabling can simplify installation and commissioning, while digital monitoring can support more informed maintenance decisions. Greater availability of equipment data can also help in identifying abnormalities earlier and in understanding the sequence of events following a fault.

Over time, these capabilities can contribute to a more responsive approach to asset management, particularly as the number and complexity of assets connected to the grid increases.

Why the Timing is Significant

The relevance of digital substations becomes clearer when viewed against the scale of India's transmission plans. For the 2022–27 period, the CEA has envisaged approximately INR 4.25 trillion of investment in transmission infrastructure, including more than 114,000 circuit kilometers of new transmission lines and substantial transformation capacity at 220 kV and above. The following planning period is expected to involve another significant expansion.

With large amounts of new infrastructure being planned and developed, there is an opportunity to incorporate digital capabilities into the architecture from the beginning, rather than relying predominantly on retrofitting at a later stage.

There is also a changing operating environment to consider. Renewable generation is often located away from major consumption centres, while its output can vary depending on weather conditions. As more such generations are integrated into the network, the ability to observe system conditions and respond to changes in real time becomes increasingly valuable.

Storage adds another dimension. Batteries and pumped hydro can move between charging and discharging modes depending on system requirements like grid frequency stability, creating additional operational complexity that the grid will need to accommodate. In this environment, the information available from substations can become an important part of how the wider network is managed.

Moving Towards More Informed Asset Management

The benefits of digital substations also extend beyond day-to-day grid operations. A conventional maintenance approach often relies on scheduled inspections and predetermined maintenance cycles. Digital monitoring creates the possibility of supplementing this with information on actual equipment condition and operating behavior.

This can support condition-based maintenance, allowing utilities to better prioritise interventions and potentially identify developing issues earlier. Reduced cabling and more compact architectures can also have implications for installation, commissioning and the physical footprint of substations, particularly in brownfield environments where space can be a constraint.

Cybersecurity is another consideration that becomes more relevant as electrical infrastructure becomes increasingly connected. As communication networks become an integral part of substation architecture, security needs to be considered alongside reliability and operational performance. Network segmentation, access controls and monitoring can increasingly form part of the design rather than being addressed separately at a later stage.

A Changing Skills Landscape

The transition towards digital substations also brings a gradual evolution in the skills required across the power sector. Substation automation increasingly brings together areas that have traditionally been treated as distinct, including electrical protection, automation, networking and cybersecurity. As a result, professionals working with these systems will need a broader understanding of how these disciplines interact.

This makes training and reskilling an important part of the transition. India's power-sector institutions are already developing programmes around substation automation and related technologies, but continued capability building will be important as digital architectures become more widely adopted. The technology may be digital, but its effectiveness will continue to depend on the people designing, operating and maintaining it.

Preparing for a More Dynamic Grid

India's transmission planning for 2027–32 also points towards the adoption of several emerging technologies, including hybrid substations, dynamic line rating, high-performance conductors (HTLS) and higher-voltage transmission systems up to 1200KV voltage levels.

Many of these developments have one requirement in common: greater visibility into how the network is performing. As transmission networks become larger and more dynamic, digital architectures can provide the information and communication layer needed to support more sophisticated monitoring and control.

This does not necessarily mean that every substation will evolve in exactly the same way. The appropriate level of digitalisation will depend on factors such as network configuration, asset criticality, operating requirements and the stage of development of the facility. What is becoming increasingly evident, however, is that digital capabilities are finding a natural place within the evolution of modern power infrastructure.

Looking Beyond the Gigawatts

India's renewable energy journey is often described through the scale of capacity being added. Yet alongside every gigawatt of generation sits a network of transmission lines, substations, control systems and other infrastructure that enables that power to reach consumers.
As the country moves towards 500 GW of renewable capacity and prepares for the next phase of expansion, this supporting infrastructure will continue to evolve.

Digital substations are one part of that evolution. By bringing greater connectivity, visibility and data-driven intelligence into critical points of the power network, they can help infrastructure keep pace with an electricity system that is becoming more diverse and dynamic.
The transition, therefore, is not only about building more infrastructure, but gradually building greater intelligence into the infrastructure that connects India's energy future.

- Piyush Bansal, Joint President and Head-Transmission Division, Bajel Projects Ltd.