India’s renewable energy push to achieve 500 GW of non-fossil capacity by 2030 is entering a decisive execution phase. As renewable penetration accelerates, grid stability has emerged as the binding constraint, rather than generation capacity. Energy Storage Systems (ESS) are no longer optional enablers, but core grid infrastructure critical to managing intermittency, peak demand volatility, and renewable curtailment, notes A.K. Tyagi.
Battery Energy Storage Systems (BESS) and Pumped Storage Projects (PSP) are therefore at the forefront of India’s storage strategy. At Nuberg EPC—a pioneer in engineering, procurement and construction across chemicals, hydrocarbons, fertilizers, and green hydrogen with over three decades of experience executing complex global projects—we examine the structural vulnerabilities in BESS supply chains and the execution bottlenecks constraining PSP deployment, offering execution-led strategic fixes rather than policy-driven intent alone.
While India’s policy framework for energy storage is directionally strong, the gap between auction announcements and on-ground commissioning remains wide. Storage deployment today is constrained less by regulatory clarity and more by execution readiness—land, logistics, vendor reliability, grid connectivity, and bankability of long-term offtake contracts. Bridging this policy–execution gap requires EPC players with integrated design, fabrication, and delivery capabilities rather than fragmented vendor-led models.
Think of BESS as the “shock absorbers” for India’s renewable grid quickly storing excess solar or wind power during the day and releasing it during evening peaks. These systems rely heavily on lithium-ion batteries, but here’s the catch: China dominates 80% of global cell production. This creates real headaches, from geopolitical tensions and import tariffs to sudden shortages, especially amid the 2025 trade frictions that spiked prices by 20 percent.
From a grid operator’s perspective, BESS is increasingly viewed as a capacity asset rather than a pure energy asset, capable of deferring transmission upgrades, smoothing ramp rates, and protecting discoms from volatile peak power purchases. However, the absence of standardized performance guarantees and long-term O&M frameworks continues to limit financial closure for large-scale BESS projects.
India’s response, the Production-Linked Incentive (PLI) scheme, aims for 50 GWh of domestic capacity by 2030. Yet, we’re still 90 percent dependent on imported lithium and cobalt, fueling that price volatility. Progress is slow: only 219 MWh commissioned so far, despite auctions totaling 12.8 GWh since 2022. Add logistics delays, shipping components from afar can inflate costs by 15-20 percent and you get underbid power purchase agreements (PPAs) that drag on for 18-24 months. Investors hesitate too, worried about battery degradation over time, even as 5 GWh of new capacity gears up for 2026.
Nuberg EPC addresses this through our in-house manufacturing prowess at our Gujarat facility, where we’ve executed over 50,000 MT of complex projects. By partnering with vetted global vendors and layering in stringent quality controls plus AI-driven demand forecasting, we slash delays by 30 percent.
PSP, on the other hand, acts like a massive water battery: pump water uphill during surplus power hours, then release it through turbines for cheap, long-duration energy at Rs.5-6 per kWh. India has assessed 224-267 GW of PSP potential, with western and southern states like Maharashtra (56 GW), Andhra Pradesh (32.7 GW), Gujarat, Karnataka, and Tamil Nadu leading the pipeline.
Himalayan geology creates challenges like unstable rock faces, while land acquisition and environmental clearances often take 2-3 years due to community relocations. As of December 2025, operational capacity stands at about 7 GW across 10 projects, with 11.6 GW under construction toward a 100 GW target by 2035-36. High capex (~Rs.6 crore/MW), timelines of 7-24 years from approval to commissioning, and cost overruns from geological issues—like delays in Sharavathy Valley over forest clearances and tunneling—deter investors. Recent progress includes JSW Energy’s 1.5 GW (1,200 MWh) PSP PPA with UPPCL.
Our roadmap isn’t just talk; it’s battle-tested. In-house fabrication de-risks supplies, AI tools predict bottlenecks, and end-to-end EPC oversight ensures zero surprises. Policies like Rs.5,400 crore VGF for 30 GWh BESS, transmission waivers till 2030, and 20 percent local content mandates accelerate energy storage deployment.
Unlike pure-play renewable developers or component suppliers, Nuberg EPC brings a process-engineering DNA honed across hydrocarbons, chemicals, and hydrogen into energy storage execution. This enables tighter integration of civil, mechanical, electrical, and control systems, reducing interface risks that typically derail storage projects during commissioning and scale-up phases.
Take our green hydrogen success: we turned policy intent into a live station by bundling storage with production. Apply that to BESS-PSP hybrids, and India could hit 20 GW storage by 2028, outpacing global peers. This powers peak shaving, cuts curtailment losses and exports tech know-how.
With Nuberg EPC at the helm, India’s ESS ecosystem won’t just meet 2030 goals—it’ll lead the world. Grid stability unlocks Viksit Bharat’s net-zero dream, turning renewables from promise to powerhouse.
© This article was first published in T&D India, 29 January, 2026
