India's annual battery storage installations are set to nearly double every year by the 2032 fiscal year, as the renewable energy boom drives increased investment in battery energy storage systems (BESS), a new report by Nuvama has shown.
Total BESS capacity installations in India are expected to jump to 302 gigawatt-hours (GWh) in 2032, up from just 6.3 GWh at present, suggesting a compound annual growth rate of 91% during the period, analysts at Nuvama wrote in the report carried by Indian media.
India’s Central Electricity Authority estimates BESS installations would reach 236 GWh by FY32, lower than the estimates of Nuvama analysts, and 1,840 GWh by 2047.
As India’s renewable energy capacity soars, the country will need increased battery storage installations to support the growth and allow greater grid flexibility, the India Energy Storage Alliance (IESA) said last month.
According to discussions at the IESA Chennai Connect 2026, India will require about 888 GWh of energy storage capacity by 2035-36 to meet rising electricity demand and support reliable integration of renewable power.
“Energy storage will be one of the defining technologies of India’s energy transition,” said Ashok Jhunjhunwala, Institute Professor at IIT Madras.
“Renewable energy must stay at the forefront, but it needs to be supported by storage to build a stronger, more reliable, and increasingly affordable power system.”
India has realized it needs to scale up its battery storage installations significantly to proceed with the rapid growth of renewable energy sources.
India’s authorities plan to introduce, from July 1, 2027, a regulation requiring developers of solar and wind energy projects to have battery storage installed at the sites in a bid to better manage the renewable energy output and reduce curtailments.
Despite a major solar and wind installations boom in recent years, India has been struggling to fully utilize the capacities because output has often been curtailed due to the lack of battery storage.
By Tsvetana Paraskova for Oilprice.com
