New Delhi: India is rapidly expanding its pumped storage capacity to support the integration of renewable energy, with 11 pumped storage projects (PSPs) having a combined installed capacity of 15,870 MW currently under construction, the Ministry of Power said on Monday, ANI reported.
The ministry said another six PSPs with a total capacity of 8,140 MW have either received concurrence or been appraised by the Central Electricity Authority (CEA) and are awaiting the start of construction.
Pumped storage projects play a key role in balancing the power grid by storing surplus electricity generated during periods of low demand and releasing it during peak consumption hours. The projects are expected to strengthen grid reliability as India increases the share of solar and wind energy in its power mix.
“PSPs support the integration of renewable energy by storing surplus energy during off-peak periods and supplying power during peak demand,” the ministry said.
Besides providing long-duration energy storage, pumped storage plants also offer ancillary grid services such as frequency regulation, voltage support and black-start capability, helping improve overall grid stability.
To accelerate project development, the government has streamlined statutory and environmental approval processes. Under revised CEA guidelines, the timeline for concurrence of Detailed Project Reports (DPRs) has been reduced from 90 days to 50 days, while inter-state clearance requirements have been removed for PSPs.
The Ministry of Environment, Forest and Climate Change has also introduced measures to expedite environmental clearances, including simplified appraisal procedures for certain projects, standardised Terms of Reference for off-stream PSPs and greater flexibility for conducting surveys and exploration in forest areas.
To attract private investment, the Ministry of Power issued guidelines for pumped storage development in April 2023 and has provided financial support for enabling infrastructure such as roads, bridges, railway sidings, ropeways, communication networks and transmission lines.
In February 2025, the government also notified a tariff-based competitive bidding framework for procuring storage capacity and stored energy from pumped storage plants through transparent bidding.
In addition, the Central Electricity Regulatory Commission (CERC) has granted a 100% waiver of Inter-State Transmission System (ISTS) charges for 25 years from the date of commercial operation for projects awarded by June 30, 2028, ANI stated.
The ministry said these policy measures are aimed at encouraging greater private sector participation while strengthening India’s energy storage infrastructure to support its clean energy transition.
