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April 2025 Highlights India’s Balanced Growth in Energy Storage: PSP, BESS, and Policy Updates

April 2025 marked a well-balanced and eventful month for India’s energy storage ecosystem, encompassing a wide spectrum of developments across Pumped Storage Projects (PSPs), Battery Energy Storage Systems (BESS), and regulatory milestones. The country witnessed progress from tenders and project execution to groundbreaking policy moves and price discoveries, setting the stage for a dynamic Q2.

Among the key developments, the Central Electricity Authority (CEA) clarified that all ongoing government schemes, including the PM Surya Ghar Muft Bijli Yojana, will remain governed by existing provisions regarding co-located energy storage with solar projects. On the regulatory front, the Assam Electricity Regulatory Commission issued procurement and dispatch guidelines for BESS, while the Maharashtra Electricity Regulatory Commission (MERC) approved Tata Power’s 100 MW BESS installation in Mumbai.

From a tendering perspective, GUVNL’s 500 MW/1000 MWh standalone BESS project saw competitive bidding, awarded at Rs2.80/kWh without Viability Gap Funding (VGF), to Solarworld and HG Infra. Meanwhile, SECI executed a Battery Energy Storage Purchase Agreement (BESPA) with KSEBL for a 125 MW/500 MWh project won by JSW at Rs4.41 lakh/MW/month.

India also commissioned its first regulated utility-scale BESS—Indigrid and Amperehour’s 20 MW/40 MWh project for BRPL. Kerala’s first BESS project entered the execution phase, and standalone BESS bids like KPTCL's saw prices between Rs2.49–2.54 lakh/MW/month, though the tender was undersubscribed.

Other notable moves included DVC’s EPC tender for a 250 MW/500 MWh BESS at Maithon, UPPCL’s 2 GW/12 GWh PSP tender, and Tata Power’s 250 MW FDRE (Firm, Dispatchable Renewable Energy) assured peak-following tender. Lastly, SPML Infra signed a manufacturing agreement with Energy Vault for energy storage tech transfer.

India's energy storage momentum remains strong, with May anticipated to bring even more action across sectors.