India Needs Rapid Battery Storage Expansion
ECONOMY & POLICY

India Needs Rapid Battery Storage Expansion

Industry stakeholders have warned that rising renewable capacity has created an immediate need to scale storage systems, highlighting a substantial gap between demand and domestic manufacturing capability. They noted that India's domestic cell manufacturing accounts for less than one per cent, or two GWh, of an approximately 260 GWh demand pipeline from competitive tenders in 2026. The shortfall, they said, threatens the ability to firm intermittent generation as capacity additions accelerate.

Battery energy storage systems (BESS) and pumped storage projects are increasingly important as the power system seeks to balance solar generation with peak demand and rising electricity consumption. Stakeholders argued that batteries and other storage technologies are central to addressing intermittency and unlocking further renewable growth. The need is driven by both system reliability and commercial optimisation.

Industry leaders cautioned against using import dependence as a reason to slow deployment, saying the grid needs storage now rather than waiting for fully indigenous cells. One executive warned that domestic supply is running well behind demand and that the gap will persist for years rather than a few quarters. Policymakers and project developers were urged to prioritise deployment while simultaneously expanding manufacturing.

National Thermal Power Corporation (NTPC) has been allocated five GWh of battery energy storage capacity under the Viability Gap Funding scheme to optimise existing thermal and transmission assets and to ensure reliable supply during non-solar hours. Research firm Wood Mackenzie estimated it would take more than a decade for India to achieve self-sufficiency in battery storage, citing a structural reliance on imports. The firm noted that India had two GWh of commissioned cell manufacturing capacity as of 2026 compared with 2,695 GWh in China. China was said to control between 85 per cent and 98 per cent of global capacity across major supply chain components, prolonging import dependence.

Industry stakeholders have warned that rising renewable capacity has created an immediate need to scale storage systems, highlighting a substantial gap between demand and domestic manufacturing capability. They noted that India's domestic cell manufacturing accounts for less than one per cent, or two GWh, of an approximately 260 GWh demand pipeline from competitive tenders in 2026. The shortfall, they said, threatens the ability to firm intermittent generation as capacity additions accelerate. Battery energy storage systems (BESS) and pumped storage projects are increasingly important as the power system seeks to balance solar generation with peak demand and rising electricity consumption. Stakeholders argued that batteries and other storage technologies are central to addressing intermittency and unlocking further renewable growth. The need is driven by both system reliability and commercial optimisation. Industry leaders cautioned against using import dependence as a reason to slow deployment, saying the grid needs storage now rather than waiting for fully indigenous cells. One executive warned that domestic supply is running well behind demand and that the gap will persist for years rather than a few quarters. Policymakers and project developers were urged to prioritise deployment while simultaneously expanding manufacturing. National Thermal Power Corporation (NTPC) has been allocated five GWh of battery energy storage capacity under the Viability Gap Funding scheme to optimise existing thermal and transmission assets and to ensure reliable supply during non-solar hours. Research firm Wood Mackenzie estimated it would take more than a decade for India to achieve self-sufficiency in battery storage, citing a structural reliance on imports. The firm noted that India had two GWh of commissioned cell manufacturing capacity as of 2026 compared with 2,695 GWh in China. China was said to control between 85 per cent and 98 per cent of global capacity across major supply chain components, prolonging import dependence.

Related Stories

Gold Stories

Next Story
Equipment

Enerpac launches battery and diesel-powered split-flow pumps

Enerpac has introduced two split-flow pump series for multi-point lifting and skidding applications, particularly at remote industrial sites and locations with limited access to conventional power sources.The new SFP-B Series is battery-powered, while the SFP-D Series runs on diesel. Both operate at pressures of up to 700 bar and are designed to simplify equipment setup and provide greater control during lifting operations.The SFP-B Series offers up to 75 minutes of runtime at full capacity and has four outlets for multi-point lifting. Its 150-litre oil reservoir supports demanding application..

Next Story
Infrastructure Urban

Electromech Infraprojects Files DRHP for Rs 3.26 Billion IPO

Electromech Infraprojects has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for a proposed initial public offering (IPO). The offering comprises a fresh issue of equity shares aggregating up to Rs 3.26 billion and an offer for sale of up to 1.89 million equity shares by existing shareholders. The shares have a face value of Rs 5 each.The Mumbai-based company provides mechanical, electrical and plumbing (MEP) solutions for data centres, Global Capability Centres (GCCs), and commercial and industrial projects. Its services cover technical de..

Next Story
Real Estate

Dubai South Home Sales Rise 27% Above 2025 Total: Anarock

Dubai South recorded 12,428 residential property transactions between January and August 2026, surpassing the 9,788 transactions registered during the whole of 2025 by 27 per cent, according to Anarock Research's Dubai South Residential Micro-Market Report. Residential sales value reached AED 15.9 billion during the eight-month period, representing 81 per cent of the AED 19.6 billion recorded in 2025.The report highlights significant growth in Dubai South's residential market, with annual sales value increasing from AED 720 million in 2020 to AED 19.6 billion in 2025. Transaction volumes also ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code