Electrical equipment: transformers, switchgear, cables & motors.

Electrical equipment converts the power sector's capital expenditure into physical assets — transformers, switchgear, motors, meters and wiring devices — with an estimated FY26 gross value added of ₹1.2 lakh crore (0.38% of national GVA), excluding renewable-equipment manufacturing (Chapter 18) and cables/wires (Chapter 28). The industry has compounded at about 11.5% a year since FY05, accelerating to roughly 15% a year in FY21–FY26 as the Revamped Distribution Sector Scheme, the Green Energy Corridors, the inter-state transmission bidding pipeline and a global transformer shortage lifted volumes, prices and exports together. Demand is driven by transmission and distribution capex (₹9.15 lakh crore planned to 2032 under NEP-Transmission), renewable-energy interconnection, industrial capex and the building cycle, with exports (~US$7 bn FY26, roughly doubled since FY22) increasingly important as global transformer lead times stretch to 2–4 years in the US and Europe. The base case projects chapter GVA growing to ₹1.95 lakh crore by FY30 and ₹3.45 lakh crore by FY35, though rapid transformer capacity additions (30–50% by 2028–2030) are expected to eventually normalise today's cycle-high margins.

Estimated chapter GVA

1.2 ₹ LC · FY26

Revenue pool (chapter scope, gross sales)

~2.3 ₹ LC · FY26

IEEMA industry incl. cables

~3.5 ₹ LC · FY26

Power demand

1,760 BU · FY26

T&D capex (transmission ₹0.9 LC + distribution ₹1.0 LC)

~1.9 ₹ LC · FY26

Electrical-equipment exports

~7 US$ bn · FY26

Electrical-equipment imports (transformers, switchgear, motors, meters, fittings)

~8 US$ bn · FY26

Listed Electricals PAT (Ace sector)

0.08 ₹ LC · FY26