The central government has also highlighted the scale of storage infrastructure required to support renewable energy generation. According to projections by the Central Electricity Authority (CEA), India will require around 74 gigawatts of energy storage capacity by 2031-32. This requirement includes around 27 gigawatts from Pumped Storage Projects (PSPs) and over 47 gigawatts from Battery Energy Storage Systems (BESS).
To accelerate the development and deployment of Pumped Storage Projects, the government has introduced a series of coordinated measures covering policy, regulation, demand and supply. These initiatives aim to support the expansion of storage infrastructure as India increases its reliance on non-fossil fuel-based electricity generation.
The measures include greater policy clarity, fiscal support, streamlined clearances, competitive procurement and integrated grid planning. Together, these steps have created an enabling environment for the accelerated development of Pumped Storage Projects.
PSPs are expected to play a crucial role in meeting the country's long-duration energy storage requirements. These projects store electricity by using surplus power to pump water to an upper reservoir. The stored water can subsequently support electricity generation when required, helping accommodate periods of surplus renewable energy production.
With installed non-fossil fuel capacity already exceeding 300 gigawatts and a target of 500 gigawatts by 2030, the government's focus on storage infrastructure highlights the importance of balancing renewable energy expansion with the capacity needed to store and manage electricity. The CEA's projection of 74 gigawatts of storage capacity by 2031-32 underlines the scale of the infrastructure planned to support India's clean energy transition.
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