Battery energy storage system (BESS) adoption is gaining momentum in India as renewable energy deployments accelerate. Storage is increasingly being viewed as a critical tool for managing the intermittency of solar and wind generation and improving grid reliability. India installed over 341 MWh of BESS in 2024, representing a more than sixfold increase from the 51 MWh deployed in 2023.

The Central Electricity Regulatory Commission (CERC) issued guidelines for virtual power purchase agreements (VPPAs), introducing a regulatory framework for an alternative renewable energy procurement mechanism that allows consumers to meet their renewable consumption obligation.

India’s accelerating shift toward renewable energy is the central reason battery energy storage systems are growing rapidly. As solar and wind take up a larger share of the installed power mix, their natural intermittency creates a growing gap between when clean power is generated and when electricity is actually needed.

India’s clean energy transition is gaining momentum, driven by growing policy support and rising pressure on commercial and industrial consumers to reduce electricity costs and reliance on grid supply. In this environment, rooftop and captive solar systems are increasingly being viewed as viable alternatives for meeting energy needs.

The Government of Gujarat notified the Integrated Renewable Energy Policy, 2025, marking a significant step toward consolidating the state’s renewable energy ambitions under a single, unified framework. The policy is designed to support large-scale deployment of renewable power, energy storage, and emerging clean technologies, while strengthening Gujarat’s position as a national and global hub for clean energy development.

The Kerala State Electricity Regulatory Commission ruled that intrastate power transmission projects costing above ₹2.5 billion (~$28.2 million) must be executed through the tariff-based competitive bidding route. The order is linked to broader power sector reforms and fiscal conditions imposed by the Union Government.

The Uttar Pradesh Electricity Regulatory Commission approved the tariffs and execution of 28 power purchase agreements for grid-connected solar power projects with an aggregate capacity of 93.4 MW under Component C-2 of PM KUSUM. The approved tariffs range from ₹2.8 (~$0.03115) to ₹2.98 (~$0.03327)/kWh.

The Punjab State Power Corporation issued a request for selection to procure 500 MW of solar power from projects located anywhere in the state. Bidders can quote for a minimum of 50 MW and a maximum of 250 MW. Bids must be submitted by February 4, 2026. Bids will be opened on February 6.

Central Electronics floated a tender to set up a 1.2 GW solar module manufacturing line in Sahibabad, Uttar Pradesh. The facility will be set up on a revenue-sharing model under the Make in India initiative. The last date to submit bids is January 15, 2026. Bids will be opened on the next day.

The Telangana Power Generation Corporation floated a tender to procure 2,000 MW of energy storage capacity from pumped hydro storage projects under a firm-dispatchable storage framework. The pumped hydro projects can be located anywhere in India. However, each project location must offer a minimum capacity of 500 MW. Bids must be submitted by January 19, 2026. Bids will be opened on January 27.

The Chennai Port Authority floated a tender for a 2 MW grid-connected rooftop solar project at its EXIM godowns in Chennai, Tamil Nadu. The project will be implemented across four locations, EXIM Godown 1, 2, 3, and 4, within the Chennai Port Authority premises. The bids must be submitted by December 31, 2025.

Vikran Engineering, Sterling and Wilson Renewable Energy, Bondada Engineering, and Kintech Synergy have won orders from NTPC Renewable Energy for the balance of system works for 1.4 GW of grid-connected solar power projects in Chitrakoot (2 x 400 MW) and Lalitpur (2 x 300 MW) in Uttar Pradesh.

NTPC Green Energy announced the commercial operation of an additional 69.04 MW at the Khavda-I Solar Project in Gujarat. The capacity represents the eighth instalment of the 1,255 MW project being developed under the Phase-II Tranche-III of the Central Public Sector Undertaking program. Following the commissioning of this eighth part of the capacity, the total installed capacity of NTPC Green will increase to 7,996.30 MW.

Renewable energy solutions company KPI Green Energy received three orders from NTPC for the plasma gasification-based green hydrogen generation project from municipal solid waste/refuse-derived fuel/agri waste at NETRA, NTPC, Greater Noida. The aggregate contract value of the orders is ₹1.28 billion (~$14.23 million).

Naxatra Labs, a manufacturer of motors and controllers for electric vehicles (EVs), raised $3 million in a Pre-Series A funding round led by Rainmatter by Zerodha. The Gurugram-based company plans to scale its technology and manufacturing capabilities while targeting high-impact markets globally.

Renewable energy asset management company POWERCON won a contract from REMC to provide comprehensive operation and maintenance services for a 26 MW wind power project at Dangri in Jaisalmer, Rajasthan, for 10 years. The work also comprises rectification of wind turbine generators and unit substations. The estimated work cost is ₹259.48 million (~$2.89 million.

Exide Industries invested ₹1.8 billion (~$20.04 million) in its battery manufacturing arm, Exide Energy Solutions (EESL), by subscribing to the subsidiary’s equity capital via a rights issue. With the latest investment, the total investment made by Exide in EESL stands at ₹42.02 billion (~$467 million). This includes the investment made in the erstwhile merged subsidiary Exide Energy.

India reclaimed the third position behind China and the U.S. in the global wind market in 2025 after record additions, according to BloombergNEF. The country is forecast to add 6.2 GW of wind projects this year, nearly double the capacity installed in 2024, putting it within striking distance of the U.S., the second-largest market at 6.8 GW.