India Needs 100 GW Storage to Meet Clean Power Targets
POWER & RENEWABLE ENERGY

India Needs 100 GW Storage to Meet Clean Power Targets

India will require a significant acceleration in the deployment of energy storage systems to meet its clean electricity goals, with 61 GW needed by 2030 and nearly 100 GW by 2032, according to a new study. The report, jointly conducted by the India Energy and Climate Center (IECC) at the University of California, Berkeley, and the Power Foundation of India under the Ministry of Power, confirms that the country is on track to reach its target of 500 GW of non-fossil electricity capacity by 2030. However, it warns that delays in energy storage could lead to increased dependence on coal-based thermal power.
Under the ‘Reference Case’ scenario, which assumes compliance with current Renewable Purchase Obligations (RPO) and storage targets, India’s non-fossil capacity is projected to cross 500 GW by 2030 and rise to about 600 GW by 2032. “We are already halfway to our 500 GW target,” said Nikit Abhyankar, lead author and Co-Faculty Director at IECC. He added, “The next step is to scale energy storage at unprecedented speed to ensure clean power availability around the clock. This will require Rs 3–4 trillion (USD 40–50 billion) in investments by 2032, but could result in annual savings of nearly Rs 600 billion (USD 7 billion) in power costs.”
The study forecasts that renewable energy generation, excluding large hydro, will grow more than fivefold—from 210 TWh in 2023 to 1,195 TWh by 2032—making up nearly half of India’s total electricity production. Energy storage will be critical to manage the variability of this influx.
The report estimates that by 2030, 61 GW/218 GWh of storage will be cost-effective for supporting the 500 GW clean power capacity, growing to 97 GW/362 GWh by 2032. In the near term, two-hour battery systems will dominate to meet evening peak demand, transitioning to four-hour systems post-2027. Likely deployment sites include solar-rich but peaking-capacity-deficient states like Gujarat, Rajasthan, Maharashtra, Uttar Pradesh, Andhra Pradesh, and Telangana.
Should storage fail to scale in time, the study cautions, India may require 57 GW of new coal-based capacity by 2030 and 80 GW by 2032. This would push total coal capacity to 270 GW and 294 GW by those years, respectively, even if RPO targets are met.
The report notes that energy storage has recently become more cost-competitive. Battery storage prices in India have fallen by nearly 65 per cent in three years. In December 2024, the Solar Energy Corporation of India (SECI) received a record-low bid of Rs 3.52 per unit for solar-plus-storage projects, signalling commercial viability for evening power supply.
On the global front, annual battery production capacity has soared to over 5,000 GWh—four times current demand—with China accounting for over 80 per cent of the output. This oversupply has driven prices down and is expected to continue to do so through 2030, supporting India’s ambitions for large-scale storage integration into its clean energy mix.
 

India will require a significant acceleration in the deployment of energy storage systems to meet its clean electricity goals, with 61 GW needed by 2030 and nearly 100 GW by 2032, according to a new study. The report, jointly conducted by the India Energy and Climate Center (IECC) at the University of California, Berkeley, and the Power Foundation of India under the Ministry of Power, confirms that the country is on track to reach its target of 500 GW of non-fossil electricity capacity by 2030. However, it warns that delays in energy storage could lead to increased dependence on coal-based thermal power.Under the ‘Reference Case’ scenario, which assumes compliance with current Renewable Purchase Obligations (RPO) and storage targets, India’s non-fossil capacity is projected to cross 500 GW by 2030 and rise to about 600 GW by 2032. “We are already halfway to our 500 GW target,” said Nikit Abhyankar, lead author and Co-Faculty Director at IECC. He added, “The next step is to scale energy storage at unprecedented speed to ensure clean power availability around the clock. This will require Rs 3–4 trillion (USD 40–50 billion) in investments by 2032, but could result in annual savings of nearly Rs 600 billion (USD 7 billion) in power costs.”The study forecasts that renewable energy generation, excluding large hydro, will grow more than fivefold—from 210 TWh in 2023 to 1,195 TWh by 2032—making up nearly half of India’s total electricity production. Energy storage will be critical to manage the variability of this influx.The report estimates that by 2030, 61 GW/218 GWh of storage will be cost-effective for supporting the 500 GW clean power capacity, growing to 97 GW/362 GWh by 2032. In the near term, two-hour battery systems will dominate to meet evening peak demand, transitioning to four-hour systems post-2027. Likely deployment sites include solar-rich but peaking-capacity-deficient states like Gujarat, Rajasthan, Maharashtra, Uttar Pradesh, Andhra Pradesh, and Telangana.Should storage fail to scale in time, the study cautions, India may require 57 GW of new coal-based capacity by 2030 and 80 GW by 2032. This would push total coal capacity to 270 GW and 294 GW by those years, respectively, even if RPO targets are met.The report notes that energy storage has recently become more cost-competitive. Battery storage prices in India have fallen by nearly 65 per cent in three years. In December 2024, the Solar Energy Corporation of India (SECI) received a record-low bid of Rs 3.52 per unit for solar-plus-storage projects, signalling commercial viability for evening power supply.On the global front, annual battery production capacity has soared to over 5,000 GWh—four times current demand—with China accounting for over 80 per cent of the output. This oversupply has driven prices down and is expected to continue to do so through 2030, supporting India’s ambitions for large-scale storage integration into its clean energy mix. 

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