The Central Electricity Authority (CEA) has cleared six hydro-pumped storage projects (PSPs) with a total capacity of 7.5 GW in record time, marking a significant milestone in India’s efforts to develop advanced long-term energy storage solutions. These projects include the Upper Indravati, Sharavathy, Bhivpuri, Bhavali, MP-30, and Chitravathi projects, which are spread across various states in India. The CEA has made the appraisal process transparent through its Jalvi Store portal, and several steps were taken to resolve issues and fast-track the appraisal process.
The development of these projects will boost energy storage capacity in the country, making a major contribution to grid reliability and supporting India’s ambitious renewable energy goals. The private sector is showing interest in this segment, with the potential for PSPs in the country crossing 200 GW. To harness this potential, the government aims to develop at least 13 PSPs with a capacity of 22 GW by 2025-26.
The projects include some under construction and surveys being conducted for others, with a total of 10 GW already under construction. The government expects around 50 GW of PSP capacity to be operational by 2032, with two projects of around 3,000 MW expected to be commissioned this year. Hydro PSPs are crucial for energy transition, as they allow excess electricity to be stored during off-peak hours and used during non-solar hours peak demand periods.
For developers and investors, the development of PSPs offers a great investment opportunity to develop long-term assets with a lifespan of over 70-80 years. The CEA aims to develop at least 13 PSPs of 22 GW during 2025-26, with the majority of projects planned to be commissioned in four years and latest by 2030.