“Uttar Pradesh is embracing pumped storage hydropower to bolster its renewable energy goals, with major projects in Sonbhadra, Mirzapur, and Chandauli. These initiatives, backed by significant investments, aim to enhance grid stability and support India’s 500 GW non-fossil fuel target by 2030. Private sector involvement and innovative policies are driving this sustainable energy transition.”
UP’s Leap Toward Sustainable Energy with Pumped Storage
Major Projects Underway
Uttar Pradesh is emerging as a hub for pumped storage hydropower (PSH) projects, with significant developments in Sonbhadra, Mirzapur, and Chandauli. JSW Energy’s 1,680 MW Sukhnai Pumped Storage Project in Sonbhadra, with an investment of ₹11,278 crore, has applied for environmental clearance. It features an off-stream closed-loop plant with two dams and a 15.16 million cubic meter reservoir. Similarly, Hinduja Renewables’ 1,250 MW Sukhnai project in Mirzapur, backed by ₹6,100 crore, is seeking environmental approval, requiring 250 hectares of forest land. Additionally, three projects totaling 3,250 MW—1,750 MW by Torrent Power in Sonbhadra, 900 MW by ACME Cleantech in Mirzapur, and 600 MW by ACME Cleantech in Chandauli—have been approved by the UP Infrastructure and Industrial Development Corporation, with an estimated investment of ₹15,000 crore.
Boosting Renewable Energy Integration
Pumped storage projects are critical for integrating variable renewable energy sources like solar and wind into the grid. These projects act as “giant batteries,” storing excess energy during low-demand periods by pumping water to an upper reservoir and releasing it to generate electricity during peak demand. This capability is vital for UP, where renewable energy adoption is increasing to meet India’s target of 500 GW non-fossil fuel capacity by 2030. The Central Electricity Authority (CEA) estimates India’s on-river PSH potential at 103 GW, with UP’s projects contributing significantly to grid stability and reducing curtailment of renewable energy.
Economic and Employment Impact
The PSH projects in UP are expected to generate substantial economic benefits. The combined investments in Sonbhadra, Mirzapur, and Chandauli are projected to create around 10,000 jobs, boosting local economies. These capital-intensive projects also stimulate industries like cement and steel, supporting India’s Atmanirbhar Bharat initiative by utilizing indigenous technologies and materials. For instance, Greenko’s ₹17,180 crore, 3,660 MW project and Torrent’s ₹24,200 crore, 4,150 MW project in Sonbhadra highlight the scale of economic impetus.
Policy Support and Innovations
The Ministry of Power’s 2023 draft guidelines and the 2024-25 Union Budget’s commitment to a dedicated PSH policy are accelerating project development. Innovations like using exhausted mines as potential PSH sites and waiving inter-state transmission charges for renewable energy used in PSH are enhancing project viability. UP’s projects align with these policies, benefiting from Viability Gap Funding (VGF) and simplified approval processes, such as single-window clearances proposed by EDF India.
Environmental and Technical Considerations
While PSH is a clean technology, environmental concerns persist. Projects like the Sukhnai PSP require forest land, raising questions about biodiversity and local water sources. Off-river PSH systems, like those proposed in UP, aim to minimize environmental impact compared to on-river systems. The CEA is fast-tracking approvals, with projects like JSW Energy’s Bhavali (1,500 MW) and Tata Power’s Bhivpuri (1,000 MW) in Maharashtra setting a precedent for timely execution, which UP aims to emulate.
Global Context and Future Outlook
Globally, PSH accounts for over 90% of installed energy storage capacity, with China leading at 44 GW. India’s current 4.7 GW operational PSH capacity is set to grow to 27 GW by 2031-32, with UP playing a pivotal role. The state’s projects, supported by private players like Greenko, Torrent, and JSW, position it as a leader in India’s energy transition, potentially attracting global investors as recommended by EDF’s policy framework.
Disclaimer: This article is based on recent news reports, industry analyses, and posts on X. Information is sourced from credible outlets like The Hindu, Energy-Storage.News, and pv magazine India, as well as X posts from verified accounts. Data is accurate as of August 5, 2025, but project statuses and investments may evolve. Readers are advised to verify details through official government or company announcements.