Energy storage sector to attract Rs. 4,79,000 crore (US$ 56.07 billion) investment by 2032: India Energy Storage Alliance (IESA)
- IBEF
- April 21, 2025
India’s energy storage sector is poised to attract an investment of Rs. 4,79,000 crore (US$ 56.07 billion) by 2032, as per the India Energy Storage Alliance (IESA). The sector is projected to grow five-fold between 2026 and 2032, driven by the country’s increasing need for energy storage solutions. According to the National Electricity Plan (NEP), India will require a total energy storage capacity of 16.13 gigawatts (GW) by FY27, consisting of 7.45 GW from Pumped Storage Projects (PSP) and 8.68 GW from Battery Energy Storage Systems (BESS). The storage demand is expected to rise to 73.93 GW by FY32, including 26.69 GW from PSP and 47.24 GW from BESS, equating to 411.4 gigawatt-hours (GWh) of total storage.
Managing Director of IESA’s parent company, Customised Energy Solutions (CES), Mr. Vinayak Walimbe, highlighted that this strategic investment is crucial for advancing technological innovation and establishing a strong energy storage ecosystem. Gujarat is expected to contribute significantly to this growth, with renewable energy capacity projected to reach 100 GW by 2030. The state currently has over 30 GW of renewable energy capacity, which is set to drive demand for energy storage solutions. The cost of energy storage systems has decreased significantly over the last few years, from Rs. 10 lakh (US$ 11,712.69) per megawatt per month to Rs. 2.5 lakh (US$ 2,928.17) per megawatt. The Central Electricity Authority (CEA) also plans to release new standards for BESS soon, providing clarity for suppliers and users. Key participants in the energy storage sector include the Ministry of New and Renewable Energy (MNRE), Solar Energy Corporation of India (SECI), and National Thermal Power Corporation (NTPC) Ltd., along with international stakeholders.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Partners
