NTPC to Add 20 GW Pumped Storage Projects, 5 GW by FY32
K N Mishra
17/Jun/2025

What’s covered under the Article:
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NTPC Group aims to develop 20 GW of pumped storage projects across India, with 5 GW targeted for commissioning by FY32.
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The 1,000 MW Tehri project’s first unit has started commercial supply, with full commissioning expected by FY26.
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Pumped storage will ensure energy security and support NTPC's shift to clean, long-duration renewable power solutions.
In a major push towards sustainable energy transformation, NTPC Group—India’s largest power utility—is actively working on an ambitious 20 Gigawatt (GW) pipeline of pumped storage projects (PSPs). These projects are being developed at various locations across India by NTPC Ltd and its hydro power subsidiaries and form a critical component of India’s strategy to strengthen renewable energy integration and grid reliability.
A Bold 20 GW Renewable Energy Vision
According to a senior NTPC official, the group’s pumped storage programme is intended to provide long-duration energy storage solutions that are essential for balancing the variability of solar and wind power. These projects are expected to stabilize the power grid, provide regulatory returns, and operate efficiently for over 40 years, serving as a cornerstone for India's clean energy future.
NTPC aims to commission between 3 GW and 5 GW of pumped storage capacity by FY2032, with a gradual ramp-up over the next few years. This timeline aligns with the government’s broader goals to make India a leader in energy storage and decarbonisation technologies.
First Milestone: Tehri PSP Begins Commercial Operations
A 1,000-megawatt (MW) pumped storage project in Tehri, Uttarakhand, is the first major development under this initiative. The project, configured with 4 x 250 MW generating units, began commercial supply through its first unit in June 2025.
The full commissioning of the Tehri PSP is expected by FY26, and the project is set to offer substantial grid stability and energy balancing capabilities once operational. Located in the Himalayan state of Uttarakhand, the Tehri PSP is well-positioned to tap into India’s natural topography for efficient hydropower-based energy storage.
Why Pumped Storage Projects Matter
Pumped storage hydroelectricity is a form of renewable energy storage that involves pumping water to a higher elevation during periods of low electricity demand and releasing it through turbines during peak demand. This enables load balancing, enhances grid stability, and reduces the need for fossil fuel-based peaking plants.
The NTPC official highlighted that these projects are financially viable, offering regulated returns over long project lifespans. In addition to their economic and operational advantages, PSPs also:
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Enable the integration of variable renewables like solar and wind.
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Act as energy reserves to handle grid fluctuations.
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Reduce carbon emissions by displacing diesel or coal-based peaking power.
Strong Project Pipeline and Feasibility Studies
NTPC has made significant progress in the preliminary stages of its pumped storage plan:
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Preliminary feasibility reports have been completed for 18 PSPs across multiple states.
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Detailed project reports (DPRs) for four projects are in advanced stages, indicating that the pipeline is now moving toward execution.
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These sites are being strategically identified based on topographical suitability, water availability, and proximity to load centres, ensuring technical feasibility and economic viability.
NTPC’s Diverse Power Portfolio: Current Capacity Snapshot
As of June 13, 2025, NTPC's standalone commercial generation capacity stood at 60,266 MW, while its total group capacity reached 81,368 MW, making it India’s largest integrated power utility. NTPC's generation portfolio includes:
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Thermal Power: The traditional backbone of NTPC’s energy generation.
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Solar & Wind Energy: Rapidly expanding with support from both central and state government initiatives.
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Hydropower and PSPs: Now forming a key focus of NTPC's transition to a low-carbon future.
This diversification allows NTPC to support the national energy demand, ensure reliable power supply, and simultaneously contribute to India’s climate goals.
India’s Energy Transition and Global Climate Goals
India’s energy system is undergoing a paradigm shift, driven by the twin needs of economic growth and environmental sustainability. As part of the Paris Agreement commitments and its Net Zero by 2070 vision, India is:
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Targeting 500 GW of non-fossil fuel-based power capacity by 2030.
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Promoting energy storage systems to support renewable integration.
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Encouraging private and public investment in clean technologies.
NTPC’s pumped storage programme is in direct alignment with these objectives, aiming to build infrastructure that supports intermittent renewables and provides round-the-clock clean energy.
Pumped Storage vs. Battery Storage: Complementary Technologies
While battery energy storage systems (BESS) have gained popularity, especially for short-duration grid support (1–4 hours), pumped storage is far more suitable for long-duration storage (up to 10 hours or more). Pumped storage offers:
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Lower lifecycle cost
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Larger energy capacity
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Longer lifespan (often more than 40 years)
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Grid inertia support, which batteries cannot provide
As such, NTPC’s approach to blend pumped storage with BESS and renewable power generation presents a comprehensive energy storage strategy for India.
Collaborations, Financing, and Policy Support
NTPC’s efforts are being backed by:
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State governments, which are facilitating land and water access.
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Central policy initiatives, including viability gap funding (VGF) and accelerated project clearances.
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International collaborations for technical expertise and financial support, particularly from climate-focused multilateral institutions.
NTPC is also exploring joint ventures (JVs) with other PSUs and private sector players to fast-track project development.
Looking Ahead: NTPC’s Clean Energy Leadership
As India marches towards becoming a renewable energy powerhouse, NTPC is positioning itself as a leader in clean energy infrastructure. Its pumped storage strategy not only aligns with the country’s environmental goals but also creates employment, boosts local economies, and ensures affordable and reliable power for all.
By 2032, with 5 GW of PSPs potentially operational and another 15 GW under development, NTPC will have laid the groundwork for a resilient, low-carbon power sector.
Conclusion: A Landmark Initiative for India's Energy Future
NTPC’s 20 GW pumped storage mission represents one of the largest energy storage initiatives in India’s history. By capitalising on hydro resources, modern engineering, and a forward-thinking policy framework, NTPC is building the backbone of a clean energy future.
This initiative not only enhances NTPC’s energy security capabilities but also marks a decisive step in India’s journey toward a carbon-neutral power ecosystem, in line with global climate commitments and the vision of a sustainable and self-reliant India.
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