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PSP Projects
NTPC Group is working on pumped storage projects totalling 20 GW capacity at multiple sites across the country, a senior company official has said. The company plans to commission 3-5 GW of such projects by 2031-32 fiscal. "...NTPC Group is working on pipeline of pumped storage projects to the tune of 20 GW in NTPC and its hydro subsidiaries," the official said. THDC India, a subsidiary of NTPC, has constructed a 1,000 MW (250 MW X 4 units) PSP project at Tehri in Uttarakhand. The first unit began commercial supply of electricity earlier this month. "We will see our first 1,000 MW PSP commissioned through Tehri PSP in FY26, with 3-5 GW more by FY32," he said. PSP assets offer over 40 years of operational life and regulated returns. As critical infrastructure for India's renewable transition, they add long-term stability to our energy portfolio, ensuring sustainable growth while advancing energy security and climate goals, the official said. Further, he said, "We have completed ..
Timely implementation of market reforms is important to improve the financial viability of pumped storage hydro project (PSP) in the country, an Icra report said on Tuesday. The levellised tariff for pumped storage hydro projects in the base case, assuming a capital cost of Rs 6.5 crore per MW, is estimated at about Rs 5 per unit, and the landed tariff, including the cost of energy required for pumping, is estimated at Rs 9 per unit, said a statement in the Icra report. It explained that while the tariff competitiveness of the storage component for PSPs is modest, the PSPs benefit from a long economic life of 40 years with a very mature and indigenous technology available. PSPs are also estimated to remain cost competitive against the storage cost associated with battery energy storage. "Nonetheless, the timely implementation of market reform measures as highlighted in the guidelines remains important to improve the financial viability of PSPs," stated Girishkumar Kadam, Senior Vic