CEA Roadmap Sets 100 GW Pumped Storage Target by 2035–36

The Central Electricity Authority (CEA), under the Ministry of Power, has released a comprehensive roadmap aiming to develop 100 GW of Hydro Pumped Storage Projects (PSPs) by 2035–36, positioning these large-scale energy storage systems as a cornerstone of India’s clean energy future.

The roadmap outlines India’s strategy to rapidly scale up pumped storage capacity to ensure grid stability, integrate variable renewable energy sources such as solar and wind, and provide long-duration storage critical for a reliable and resilient power system.

India has already achieved a significant milestone, reaching 50 percent non-fossil fuel electricity capacity by July 2025, and is targeting net-zero emissions by 2070. In this context, PSPs are seen as essential for providing grid inertia, balancing power, and operational flexibility as the share of renewables grows. With a typical lifespan of around 100 years, PSPs offer long-term, indigenous, and environmentally friendly solutions that provide frequency regulation, black-start capability, and six or more hours of energy storage. The roadmap identifies PSPs as particularly suitable for long-duration storage, complementing battery storage systems which are more suited to shorter-duration needs.

The report estimates India’s total PSP potential at ~267 GW, with 58 GW on-stream and 209 GW off-stream, while 7.2 GW is currently operational across ten projects and 11.6 GW is under construction. Additionally, around 103 GW of projects are in survey, investigation, or concurrence stages, demonstrating a significant development pipeline. The roadmap lays out a year-wise capacity addition plan targeting 100.8 GW by 2035–36, with an estimated investment requirement of INR 5.8 lakh crore (approximately ₹6 crore per MW). Achieving these targets will require scaling up domestic manufacturing of turbines and generators, with key companies identified including BHEL, ANDRITZ, and Voith Hydro.

To support rapid deployment, the government has introduced several policy and regulatory measures. These include guidelines for PSP development released in April 2023, budgetary support for enabling infrastructure such as roads and transmission lines, waivers of ISTS charges for projects awarded by June 2028, and tariff-based competitive bidding guidelines issued in February 2025.

The roadmap also calls for easing concurrence requirements specifically for off-stream closed-loop PSPs, which are environmentally preferred. The CEA recommends further streamlining environmental and forest clearances, providing viability gap funding (VGF) to make PSPs competitive with battery storage, and adopting international best practices in design and implementation.

Transmission planning has been integrated proactively into the roadmap to ensure efficient evacuation of power from PSPs. Detailed infrastructure requirements, including lines and substations for 100 GW of capacity, have been outlined. Environmental and forest clearance processes, which have traditionally been cumbersome due to treatment of PSPs akin to conventional hydro projects, are also being addressed.

The Ministry of Environment, Forest and Climate Change (MoEF&CC) has initiated measures to categorize off-stream closed-loop PSPs separately and has allowed enhanced borehole drilling for surveys. The report recommends exempting such projects from certain requirements, like Catchment Area Treatment, to accelerate approvals.

Financially, PSPs are expected to require Viability Gap Funding, similar to schemes available for battery energy storage systems, to remain cost-competitive amid declining battery prices. This approach positions PSPs as green, indigenous storage solutions that can support India’s energy security and renewable integration goals. The roadmap also emphasizes adopting best practices in project design and execution, prioritizing off-stream closed-loop sites, optimizing head and tunnel lengths, and using turnkey contracts.

The Pinnapuram Integrated Renewable Energy Project (IREP) in Andhra Pradesh is highlighted as a successful model, where co-location of solar, wind, and PSP has optimized transmission usage and minimized losses.

The roadmap places India’s ambitions within a global context, noting that ~189 GW of PSP capacity is currently operational worldwide, with over 600 GW in the development pipeline. China leads globally with 53 GW operational and 90 GW under construction, underscoring the growing international trend toward long-duration energy storage. India’s plan to reach 100 GW by 2035–36 aligns with these trends and underscores its commitment to scaling storage infrastructure to match renewable energy growth.

In conclusion, the CEA’s roadmap stresses that pumped storage projects are vital for India’s energy transition, providing grid stability, enabling higher renewable energy penetration, and enhancing energy security. Meeting the 100 GW target will require coordinated efforts across policy, regulatory clearances, financial incentives, and robust transmission planning, making PSPs a central element in India’s clean energy and net-zero strategy for the coming decades.