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SharePoint lets you save sites as a site template so that you can configure a site the way you want, save it as a site template and then create more identical sites from the template. You can save old-fashioned 'SharePoint workflows' into site templates so that the new sites automatically have the same workflow provisioned.

Is it possible to save Flow / Power Automate within a SharePoint site template? Or is there an alternative approach to achieve the same goal, e.g. so that when a new SharePoint site is created it has a specific Flow / Power Automate set up automatically?

We have an ongoing system. In that system, we have used a custom form in SharePoint online, when a new item added to the project list using custom form one project site automatically based on a custom site template. That custom site template contains SharePoint designer workflows. Lists Templates, Web Parts, tec.

Nowadays Microsoft has been retired Sharepoint designer workflows. So, we need to migrate Sharepoint designer workflows to Power Automate. Power Automate is working fine for one site but we need to add that Power Automate with SharePoint custom site template. So, when the new site is created flows are created automatically like Sharepoint designer workflows

Can you please help me with the above scenario

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Site Designs are an option for SharePoint templates. They can be a bit limited but they do allow for extensibility as they can execute a power automate flow as part of the provisioning process. The core provisioning logic here is rather simple: lists, site columns, theme application, content types, and a bit more. Pages are not part of the provisioning schema but they can always be provisioned as part of the flow process.

The nice thing about this is that the provisioning can be done all within SharePoint for kicking it off and getting the basics in without any custom service. Furthermore, if you need user input you could use SharePoint framework to add some sort of form on the provisioned site to 'finish' the provisioning process via an extension, I believe there is a Github out there that does exactly this.