The “Vision for Power System 2030” report recently released by India’s Central Electricity Authority (CEA) outlines a diversified blueprint for the country’s energy storage technology. It not only clarifies a significant expansion target for pumped hydro storage but also presents clear development opportunities for cutting-edge technologies such as flow batteries and grid-forming Battery Energy Storage Systems (BESS).
The report explicitly states that India plans to add 100 gigawatts of pumped hydro storage capacity by 2030. This target represents a major upgrade from existing plans, aiming to provide long-duration, large-capacity storage support for the Indian power grid to integrate rapidly growing wind and solar power generation.
In addition to traditional pumped hydro storage, India is also accelerating its deployment of new energy storage technologies. Bharat Heavy Electricals Limited (BHEL) and Swiss energy storage company Leclanché recently jointly announced the development of a 100MWh vanadium flow battery energy storage project in Panchpuri, Maharashtra, India.
This project is currently one of the largest planned flow battery projects in India, marking the country’s active exploration of flow battery technology, which offers advantages in safety and longevity, alongside lithium-ion batteries as a long-duration energy storage technology pathway. The two parties aim to validate the application value of flow batteries in peak shaving, frequency regulation, and renewable energy grid integration within the Indian power grid through this project.
Grid-forming BESS has become another focal point in the report. As India’s renewable energy penetration continues to increase, the decline in system inertia caused by the retirement of traditional synchronous generators is becoming increasingly prominent. Grid-forming energy storage technology, capable of providing voltage and frequency support, is regarded as a key solution for ensuring stable grid operation.
India’s Ministry of Power stated that targeted policies and market mechanisms will be introduced in the future to encourage the research, development, and deployment of grid-forming energy storage technology. Several international energy storage technology providers have already begun to establish a presence in the Indian market, seeking cooperation with local enterprises to jointly advance relevant demonstration projects.
The robust development of India’s energy storage market is inseparable from strong policy drivers and market demand. According to data from India’s Ministry of New and Renewable Energy (MNRE), as of early 2026, the total scale of commissioned new energy storage projects in India was approximately 2 GWh. However, according to the planning outlined in the “Vision for Power System 2030” report, India’s cumulative installed energy storage capacity needs to reach 48.5 GWh by 2030 to support the country’s target of 500 GW of non-fossil fuel installed capacity.
To achieve this goal, the Indian government is actively improving the business models and pricing mechanisms for energy storage. The Central Electricity Regulatory Commission (CERC) has recently revised the rules for energy storage participation in the electricity market, allowing energy storage systems to participate in ancillary service markets such as frequency regulation, peak shaving, and reserves, and has clarified the grid connection technical standards for energy storage power plants.
Industry analysts point out that the Indian energy storage market is transitioning from a “policy guidance phase” to a “large-scale development phase.” Pumped hydro storage, leveraging its maturity and large-capacity advantages, will become the “ballast stone” for long-duration energy storage in India; while new technologies such as flow batteries and grid-forming BESS will rapidly rise in specific application scenarios, collectively building India’s diversified and highly resilient energy storage system.
