India’s energy storage sector to attract Rs 4.79 lakh crore investment by 2032: IESA, ET EnergyWorld

Gandhinagar: India’s energy storage sector is projected to expand fivefold between 2026 and 2032 with an estimated investment requirement of ₹4.79 lakh crore, industry body India Energy Storage Alliance (IESA) said.

The projections were released during the fifth edition of the Stationary Energy Storage India (SESI) 2025 conference held in Gandhinagar, Gujarat.

According to the National Electricity Plan, India will require 73.93 GW of energy storage capacity by 2031-32, comprising 26.69 GW from pumped storage plants (PSP) and 47.24 GW from battery energy storage systems (BESS), with a total energy storage capacity of 411.4 GWh.

The storage capacity requirement by 2026-27 is projected at 16.13 GW, with 82.37 GWh energy storage, comprising 7.45 GW PSP and 8.68 GW BESS.

Speaking at the event, S J Haider, Additional Chief Secretary, Government of Gujarat, said the state has set a renewable energy target of 100 GW by 2030. “Gujarat is positioning itself as a national frontrunner in integrated renewable energy and energy storage deployment, with a strategic focus on climate resilience, infrastructure investments, and grid stability,” he said.

Arun Mahesh Babu M.S., Managing Director, Gujarat Power Corporation Limited, said, “We are already seeing good participation in 2-hour and 4-hour tenders, and 8-hour tenders are expected soon. Gujarat currently contributes over 30 GW of renewable energy.”

IESA estimates that India’s energy storage market will grow significantly, driven by government initiatives including Viability Gap Funding (VGF) for 13,200 MWh of BESS by 2030-31. Public sector companies such as SECI, NTPC, and SJVN, along with states like Gujarat, Uttar Pradesh, and Madhya Pradesh, have issued tenders for standalone storage and renewable energy dispatch solutions.

R P Gupta, Chairman and Managing Director, Solar Energy Corporation of India (SECI), said, “We aim for approximately 500 GWh by 2030 and around 5,000 GWh by 2047. These are huge numbers. All these show that there is great potential for investment and innovation.”

Ghanshyam Prasad, Chairperson, Central Electricity Authority (CEA), said, “The cost of energy storage systems has already seen a notable reduction, from ₹10 lakh per megawatt per month to approximately ₹2.5 lakh per megawatt over the past 2 to 2.5 years. We will soon release new BESS standards.”

Vinayak Walimbe, Managing Director, CES India, said energy storage supports India’s net zero transition. “It is an enabling technology that helps integrate renewable energy into the grid. We are working with central and state governments to deploy these technologies.”

The conference was organised under the Stationary Energy Storage India Council (SESI Council) and was attended by more than 200 industry leaders, government officials, and participants from over 10 partner countries. Delegates discussed energy storage policies, tender processes, and project developments.

Key stakeholders included the Ministry of New and Renewable Energy (MNRE), Central Electricity Authority (CEA), SECI, NTPC, Gujarat Energy Development Agency, Adani New Industries, JSW Energy, GUVNL, World Economic Forum, World Bank, and Envision Energy.

• Published On Apr 19, 2025 at 05:44 PM IST

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