Besides building new power plants and giving financial incentives, the government also uses some interesting methods, such as showing people the benefits of saving energy and encouraging them to buy energy-efficient appliances.
For example, many people are more willing to buy energy-saving air conditioners and refrigerators when they see these products can save electricity bills.
India has a program called 'Life for Environment' that encourages everyone to do environmentally friendly things every day, such as using LED lights, saving water, and cooking with clean energy.
Other countries have good methods too, like Germany using smart meters to let people see their electricity usage, and Japan encouraging voluntary electricity saving through campaigns.