3 days ago
India's Pumped Storage Push Faces ₹7.36-Trillion Investment Question
India is building more solar and wind power, but these sources do not produce electricity steadily all day.
The country wants to build many pumped storage plants to save extra electricity and use it later.
These plants move water between two reservoirs at different heights.
Electricity pumps the water uphill when power is plentiful, and the water flows downhill to generate electricity when demand rises.
India’s proposed projects could store 122.77 gigawatts of power.
Building them may cost about ₹7.36 trillion.
Batteries are cheaper to build at first, but pumped storage can last much longer and provide power for more hours.
Experts believe the plan is possible, although some locations may face geological or forest-related problems.
India plans 122.77 GW of pumped storage across 87 projects, potentially requiring ₹7.36 trillion.
The projects are intended to support India’s 2030 target of 500 GW of non-fossil power capacity.
As of August 2026, 15.87 GW was under construction and 10.4 GW had received CEA clearance.
Pumped storage costs more upfront than batteries but can last about 100 years and discharge for longer periods.
Experts say the target is achievable, though construction times, geology and forest cover could limit some projects.
- Who
- India, the Central Electricity Authority, industry experts and power developers are involved.
- What
- India is planning 122.77 GW of pumped storage capacity through 87 projects.
- Where
- Potential projects include locations in Maharashtra, Karnataka, Andhra Pradesh and Odisha.
- When
- The Central Electricity Authority’s construction data is stated as of August 2026, with a broader roadmap extending to 2035-36.
- Why
- The storage is intended to balance variable solar and wind generation, support grid stability and help meet India’s 2030 non-fossil power target.
Pumped Storage Advocates
Cost and Execution Concerns
Role in the power grid
Pumped Storage Advocates
Pumped storage can absorb surplus renewable electricity, release it during peak demand, provide grid inertia and help stabilize frequency.
Cost and Execution Concerns
Without sufficient storage, falling solar or wind output and sudden demand changes can threaten grid stability and frequency.
Pumped storage versus batteries
Pumped Storage Advocates
Pumped storage has a higher upfront cost but a lifecycle of around 100 years and generally supports discharge periods longer than six hours.
Cost and Execution Concerns
Battery energy storage systems cost about ₹2 crore per MW compared with roughly ₹6 crore per MW for pumped storage, although current batteries typically discharge for up to four hours.
Feasibility of the target
Pumped Storage Advocates
Experts say the ambitious target is achievable, and India has several areas with strong potential, including parts of the Western and Eastern Ghats.
Cost and Execution Concerns
Projects require suitable reservoirs with a substantial elevation difference, take four to five years to construct, and may be constrained by geological issues or forest cover.
Key facts
- Proposed capacity
- 122.77 GW across 87 pumped storage projects
- Estimated investment
- About ₹7.36 trillion, based on an average cost of ₹6 crore per megawatt
- Construction status
- 15.87 GW under construction as of August 2026
- CEA-cleared capacity
- 10.4 GW has received Central Electricity Authority clearance
- Potential capacity
- The Central Electricity Authority estimates India’s total potential at 345.38 GW
- Current capacity
- India has 7.42 GW of pumped storage capacity, including the 1,000 MW Tehri project commissioned in 2025
- Build and operating profile
- Projects can take up to five years to build, but may operate for around 100 years and discharge for more than six hours
Quotes
AK Singh
Hydrologist, adjunct professor at IIT Roorkee, and former NTPC hydro executive
“Pump storage projects require four-to-five years for construction. In principle, a PSP requires a combination of two reservoirs which should have an elevation difference of 150-200 meters at the least. India has also developed projects with 500-meter difference between the reservoirs.”
livemint.com
Sources
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