India to have 13.8 GW of Pumped Storage Projects by December 2029

By December 2029, India will have an aggregate installed capacity of 13.8 GW of Pumped Storage Projects (PSPs), providing the country with essential stability as its power needs rise. 

11 Pumped Storage Projects in India are under construction and at different stages of execution; the first is expected to be commissioned by December 2026: the 1920 MW Gandhi Sagar in Madhya Pradesh. 

Pumped Storage Projects are large-scale energy storage systems that use gravitational potential energy to balance electricity supply and demand.

A PSP comprises two reservoirs at different elevations. When surplus electricity—often from renewables like solar or wind—is available, pumps move water from the lower to the upper reservoir, storing energy.

During peak demand or when generation dips, water is released back through turbines to generate electricity.

This simple but powerful mechanism provides rapid, flexible grid balancing at multi-hour durations, making PSPs a cornerstone of modern decarbonised power systems.

Pumped Storage Projects in India are strategically important for at least three reasons.

Integrate variable renewable energy 

India has set ambitious renewable energy targets with massive additions of solar and wind capacity, which can create intermittency and curtailment challenges.

PSPs can absorb excess daytime solar and supply power during evening peaks, substantially reducing wastage and smoothing net load profiles across states and regions.

Provide essential grid services

Pumped Storage Projects can provide frequency regulation, inertia replacement, spinning reserve, and black-start capability.

Unlike many battery systems that excel at short-duration needs, PSPs can deliver large megawatt (MW) outputs for several hours or more, supporting longer-duration balancing and enhancing grid resilience.

In regions with hydropower potential, PSPs complement run-of-river and reservoir schemes by shifting generation timing without consuming fuel.

Cost-effective for long-duration storage

While lithium-ion batteries have fallen sharply in price, their economics for multi-hour, high-energy applications remain challenging compared with PSPs’ lifecycle costs and long operational lifetimes (often 50+ years).

PSPs also exhibit relatively low degradation and, when thoughtfully designed, can be sited to provide multipurpose benefits—flood control, irrigation support, and local water management.

Pumped Storage Projects in India

Presently, 11 Pumped Storage Projects in India are under construction, with an aggregate installed capacity of 15,870 MW.

In addition, 6 PSPs with an aggregate installed capacity of 8,140 MW have been concurred/appraised by the Central Electricity Authority (CEA) and are yet to be taken up for construction. 

Implementing PSPs in India requires careful planning. Site selection must minimise ecological and social impacts, particularly where reservoirs might affect biodiversity or displace communities.

Innovative designs such as underground reservoirs, closed-loop systems using abandoned mines, or coastal PSPs can reduce environmental footprints.

Financing and regulatory frameworks should enable hybrid projects that pair PSPs with investments in renewables and grid modernisation.

In sum, Pumped Storage Projects offer India a scalable, durable, and economically attractive tool for integrating renewables, stabilising the grid, and ensuring reliable power during transitions to net zero.

With strategic siting, stakeholder engagement, and supportive policy, PSPs can become a backbone of India’s resilient, low-carbon energy infrastructure.