India Accelerates Hydro Pumped Storage Projects

The Central Electricity Authority (CEA), under the Ministry of Power, has announced the approval of Detailed Project Reports (DPRs) for six Hydro Pumped Storage Projects (PSPs) totaling approximately 7.5 GW within the 2024-25 fiscal year. This marks a major milestone in India’s journey towards a sustainable and resilient energy future. The press release was issued on April 12, 2025.

Approved Projects Spanning Multiple States

The approved projects, demonstrating a nationwide commitment to energy storage, are:

  1. Upper Indravati (600 MW) in Odisha
  2. Sharavathy (2,000 MW) in Karnataka
  3. Bhivpuri (1,000 MW) in Maharashtra
  4. Bhavali (1,500 MW) in Maharashtra
  5. MP-30 (1,920 MW) in Madhya Pradesh
  6. Chitravathi (500 MW) in Andhra Pradesh

The CEA attributed this rapid progress to the collaborative efforts of PSP developers and appraising organizations, including the Central Water Commission (CWC), Geological Survey of India (GSI), and Central Soil and Materials Research Station (CSMRS). The appraisal process was significantly streamlined through initiatives such as the “Jalvi Store” portal for transparent appraisal, shorter DPRs, and detailed submission checklists.  

Building on this momentum, the CEA has set an ambitious target to concur DPRs for at least 13 PSPs, totaling approximately 22 GW, in the 2025-26 fiscal year. Most of these projects are expected to be commissioned within four years, with a target completion date of 2030.

Hydro PSPs play a crucial role in India’s energy transition by providing a reliable and flexible energy storage solution. They store excess electricity during off-peak hours by pumping water to elevated reservoirs, which can then be released during peak demand periods.

The CEA highlighted the encouraging participation of the private sector, which has contributed to the national PSP potential exceeding 200 GW. With only 3.5 GW of operational PSP capacity currently, the government is accelerating development to harness this vast potential. Two PSPs of roughly 3000 MW are set to be commissioned this year, with a projected 50 GW capacity by 2032.

Currently, 8 PSPs totaling 10 GW are under construction, and DPRs for 3 projects of about 3 GW have been approved. Additionally, 49 projects totaling 66 GW are in the survey and investigation phase, with DPRs expected to be finalized within two years.

The CEA emphasized the long-term investment potential of PSPs, which offer asset lifespans of 70-80 years, making them attractive to developers and investors.

This aggressive push for hydro PSP development underscores India’s commitment to building a robust and sustainable energy infrastructure, ensuring grid stability, and supporting its ambitious renewable energy goals.

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