Energy Storage Sector Set to Attract Rs 4.79 Trillion in Investments by 2032: IESA

India's energy storage sector is expected to attract an investment of Rs 4.79 lakh crore by 2032, according to the India Energy Storage Alliance (IESA) on Sunday. The 5th Edition of the International Conference on Stationary Energy Storage India (SESI) 2025, which concluded last week in Gandhinagar, Gujarat, saw the industry body IESA forecast that India's energy storage sector is set to grow five-fold between 2026 and 2032, according to a statement.

The National Electricity Plan (NEP) forecasts that by 2026-27, India will require an energy storage capacity of 16.13 GW, comprising 7.45 GW from pumped storage projects (PSP) and 8.68 GW from battery energy storage systems (BESS). This will necessitate a total storage capacity of 82.37 GWh, with 47.6 GWh from PSP and 34.72 GWh from BESS. By the year 2031-32, the demand for storage capacity is projected to reach 73.93 GW, comprising 26.69 GW from pumped storage power (PSP) and 47.24 GW from battery energy storage systems (BESS). The total storage required is expected to be 411.4 GWh, with 175.18 GWh coming from PSP and 236.22 GWh from BESS.

"India's energy storage sector is expected to grow five-fold between 2026 and 2032, drawing an estimated Rs 4.79 lakh crore in investments by 2032. This crucial investment is essential to drive technological advancements and build the infrastructure necessary for a strong and sustainable energy storage ecosystem in India," said Vinayak Walimbe, Managing Director of Customised Energy Solutions (CES), the parent organisation of IESA, at the event.

Over 200 industry leaders, government officials, and representatives from more than 10 partner countries gathered to share their insights on energy storage-related government policies, analyse past and upcoming tenders, and highlight the latest project developments driving growth in the sector.

"There has been strong participation in the 2-hour and 4-hour tenders, with 8-hour tenders expected to follow soon. Currently, Gujarat contributes more than 30 GW of renewable energy and has set an ambitious target to reach 100 GW by 2030. This significant growth in renewable energy capacity will, consequently, fuel substantial expansion in the energy storage market," said Arun Mahesh Babu, Managing Director, Gujarat Power Corporation.