Odisha Unveils Policy to Attract Investment in Pumped Storage

25 Sep 2025 CW Team

The Energy Department’s latest Operational Guidelines to Odisha PSP Policy identify potential locations for off-the-river closed-loop PSPs. With many sites still unregistered or unsurveyed by state and central agencies, and with the growing importance of long-duration energy storage, private developers have approached the state for site allocations. The government has now decided to allocate some sites to developers while safeguarding state interests.

The guidelines apply to all developers, including Central Public Sector Undertakings (CPSUs), State Public Sector Undertakings (SPSUs), private developers, joint ventures of CPSUs/SPSUs, government departments, and the nodal agency involved in PSP development.

The policy highlights that “discarded mines, including coal mines in Odisha, could serve as hydro storage sites, acting as natural enablers for PSP development.” The state will collaborate with the Ministry of Coal, Ministry of Mines, and respective state governments to identify and develop exhausted mines as prospective PSP sites.

Under the new framework, private developers can propose off-stream PSP projects. Key responsibilities include:

Developers: Identify sites not already registered as state-identified projects by the nodal agency.
Nodal Agency: Notify the opening of the window for receiving applications for self-identified off-stream PSPs, one month after publication of the guidelines. The initial window will last three weeks, extendable with government approval.
State and Central PSUs: Continue to identify feasible sites and undertake pre-feasibility assessments for notification as state-identified projects.

State-identified projects may be allocated on a nomination basis or through a Memorandum of Understanding (MoU) to CPSUs, SPSUs, or joint ventures, following evaluation of technical and financial capabilities.

All PSPs will be developed under a Build-Own-Operate-Transfer (BOOT) model. The initial concession period is 40 years, extendable by up to 30 years with state government approval. Upon completion, project assets will transfer to the state or a designated SPSU free of encumbrances. For captive PSPs, the transfer does not apply as long as the project maintains Captive Generating Plant (CGP) status.

Financial requirements mandate that developers have a minimum net worth of 20 per cent of the estimated project cost and submit audited accounts for the past five years. Proposals are invited from SPSUs, CPSUs, joint ventures, and private developers to develop these projects.

The Odisha government, after identifying 45 potential sites for Pumped Storage Projects (PSPs) earlier this year, has introduced a policy framework to monitor and regulate PSPs in the state. The policy is designed to attract investment from public and private developers and aligns with the PSP Policy 2025 and the Renewable Energy Policy 2022.The Energy Department’s latest Operational Guidelines to Odisha PSP Policy identify potential locations for off-the-river closed-loop PSPs. With many sites still unregistered or unsurveyed by state and central agencies, and with the growing importance of long-duration energy storage, private developers have approached the state for site allocations. The government has now decided to allocate some sites to developers while safeguarding state interests.The guidelines apply to all developers, including Central Public Sector Undertakings (CPSUs), State Public Sector Undertakings (SPSUs), private developers, joint ventures of CPSUs/SPSUs, government departments, and the nodal agency involved in PSP development.The policy highlights that “discarded mines, including coal mines in Odisha, could serve as hydro storage sites, acting as natural enablers for PSP development.” The state will collaborate with the Ministry of Coal, Ministry of Mines, and respective state governments to identify and develop exhausted mines as prospective PSP sites.Under the new framework, private developers can propose off-stream PSP projects. Key responsibilities include:Developers: Identify sites not already registered as state-identified projects by the nodal agency.Nodal Agency: Notify the opening of the window for receiving applications for self-identified off-stream PSPs, one month after publication of the guidelines. The initial window will last three weeks, extendable with government approval.State and Central PSUs: Continue to identify feasible sites and undertake pre-feasibility assessments for notification as state-identified projects.State-identified projects may be allocated on a nomination basis or through a Memorandum of Understanding (MoU) to CPSUs, SPSUs, or joint ventures, following evaluation of technical and financial capabilities.All PSPs will be developed under a Build-Own-Operate-Transfer (BOOT) model. The initial concession period is 40 years, extendable by up to 30 years with state government approval. Upon completion, project assets will transfer to the state or a designated SPSU free of encumbrances. For captive PSPs, the transfer does not apply as long as the project maintains Captive Generating Plant (CGP) status.Financial requirements mandate that developers have a minimum net worth of 20 per cent of the estimated project cost and submit audited accounts for the past five years. Proposals are invited from SPSUs, CPSUs, joint ventures, and private developers to develop these projects.

Real Estate

05 Nov 2025

83% of Indian Employees Welcome Office Return: JLL Report

India is leading the global Return-to-Office (RTO) movement, with 82 per cent of employees currently under office-based work mandates and 83 per cent expressing positive sentiment toward the shift, according to JLL’s Workplace Preference Barometer 2025. This enthusiasm positions India well above the Asia-Pacific average of 64 per cent, underscoring the country’s progress in creating people-centric, flexible, and productive workplaces.The technology, BFSI, and education sectors are at the forefront of this RTO trend, with Indian corporates excelling in designing work environments that balan..

Real Estate

05 Nov 2025

ServeU, PureBlue Water Partner to Boost Sustainable Water Management in UAE

ServeU, a subsidiary of Union Properties and a leading facilities management provider in the UAE, has signed a strategic partnership with PureBlue Water, an innovator in sustainable water and wastewater technologies. The collaboration aims to promote efficient water use, cost reduction, and circular water management across the UAE’s residential, commercial, industrial, and leisure sectors.This partnership integrates ServeU’s regional expertise with PureBlue Water’s advanced distributed treatment systems, offering a sustainable alternative to traditional centralized sewer networks. These ..

Infrastructure Urban

05 Nov 2025

Eurobond Expands Global Footprint with Launch of Eurobond Europe

Euro Panel Products, the parent company of Eurobond, has announced its official entry into the European market with the launch of Eurobond Europe, which will serve as the brand’s exclusive distributor across the region.Established in 2002, Eurobond is among India’s leading manufacturers of Aluminium Composite Panels (ACP) and façade solutions. With a state-of-the-art facility in Gujarat and exports to over 20 countries, the company continues to set benchmarks in quality, design, and innovation. Its expansion into Europe marks a strategic step in strengthening its global presence.Divyam Sh..