Union Power and New & Renewable Energy Minister: No Plans for Viability Gap Funding for Pumped Storage Projects; Emphasizes Viability of Levelized Cost of Storage
The Union Minister for Power and New & Renewable Energy has informed that the Levelised cost of storage of Pumped Storage Projects is economically viable. Therefore, there are no plans to provide Viability Gap Funding for Pumped Storage Projects.
Ministry of Power has notified Guidelines to promote development of Pumped Storage Projects (PSP) in the country on 10thApril, 2023. There is no provision for allocation of PSPs to the private sector on nomination basis in the aforesaid guidelines.
At present, no proposal for allocation of PSPs to private sector on nomination basis is under consideration.
The details of PSPs currently operational in the country, State / UT- wise, is given below.
PSPs currently installed in the country, State / UT- wise
| S No. | Station | Installed Capacity (MW) |
| Gujarat | ||
| 1 | Kadana * | 240 |
| 2 | SardarSarovar RBPH * | 1,200 |
| Maharashtra | ||
| 3 | Ghatgarh | 250 |
| 4 | Bhira | 150 |
| Tamil Nadu | ||
| 5 | Kadamparai | 400 |
| Andhra Pradesh | ||
| 6 | N J Sagar | 705.6 |
| 7 | Srisailam LBPH | 900 |
| West Bengal | ||
| 8 | Purulia | 900 |
| Total | 4,745 | |
Note: Kadana PSP & Sardar Sarovar RBPH are currently not operational in pumping mode.
At present, four (4) no. of PSPs with aggregate installed capacity of 2,780 MW are under construction in the country. The details are given below.
PSPs currently under construction
| Sl. No. | Name of Project | State | River Basin | IC (MW) | Tentative Year of
Commissioning |
| 1 | Tehri PSS | Uttarakhand | Ganga | 1000 | 2024-25 |
| 2 | Pinnapuram | Andhra Pradesh | Pennar | 1200 | 2024-25 |
| 3 | Kundah PSP Ph-I, II & III | Tamil Nadu | Cauvery | 500 | 2024-25 |
| 4 | Koyna Left Bank * | Maharashtra | Krishna | 80 | 2027-28 |
| Total | 2,780 | ||||
Note: Construction activities at Koyna Left Bank are currently stalled.