India Unveils ₹97,600 Crore Grid-Scale Energy Storage Investment Programme; Cabinet Approves ₹14,500 Crore Funding Support

New Delhi | November 4, 2026

The Union Cabinet has approved a major grid-scale energy storage development programme involving an estimated investment of ₹97,600 crore, supported by ₹14,500 crore in Viability Gap Funding (VGF). The initiative aims to develop 92 gigawatt-hours (GWh) of energy storage capacity across India by FY2030–31.

The programme envisages 60 GWh of pumped hydro storage, 30 GWh of Battery Energy Storage Systems (BESS) and 2 GWh of alternative storage technologies. The funding support is designed to improve project viability, attract private investment and accelerate large-scale energy storage infrastructure development.

The initiative is expected to generate substantial opportunities for infrastructure developers, EPC contractors, equipment manufacturers and technology providers. Major investment areas include pumped storage facilities, battery installations, electromechanical systems, substations and associated grid infrastructure.

The programme will strengthen renewable energy integration, improve electricity grid stability and support round-the-clock power availability by storing surplus solar and wind generation.

The estimated ₹97,600 crore represents cumulative investment across multiple future projects rather than a single project award. Individual developments, contractors and procurement packages will emerge during implementation, creating a significant infrastructure investment pipeline for India's energy sector.