The India energy storage market size was 233.78 MWh in 2024 and is expected to reach 6,637.31 MWh by 2033, growing at a CAGR of 41.70% during 2025-2033. Growth is driven by rapid advancement in cutting-edge storage technology and supportive government policies. The integration of renewable energy sources and smart grid innovations also increases market share.The report presents a thorough review featuring the India energy storage market trends, share, growth, and research of the industry.
STUDY ASSUMPTION YEARS
- Base Year: 2024
- Historical Year/Period: 2019-2024
- Forecast Year/Period: 2025-2033
INDIA ENERGY STORAGE MARKET KEY TAKEAWAYS
- Current Market Size: 233.78 MWh in 2024
- CAGR: 41.70%
- Forecast Period: 2025-2033
- Large investments in new energy storage technologies are driving rapid growth.
- Government incentives like the National Electric Mobility Mission Plan and Atmanirbhar Bharat Abhiyan support renewable energy and energy storage.
- Battery Energy Storage System (BESS) held 63.8% market share in 2024.
- Utility scale end user dominates with 54.3% market share.
- South India is the largest regional market due to increasing energy demand and renewable energy projects.
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MARKET TRENDS
India is witnessing a rapid advancement in energy storage innovations, supported by substantial investments aimed at enhancing long-term storage, lithium-ion battery manufacturing, and recycling facilities. Indian authorities issued 6.1 GW of standalone energy-storage tenders in Q1 2025, amounting to 64% of the 9.5 GW total utility-scale capacity tendered, highlighting the surge in demand and regulatory support for energy storage systems.
Government policies and incentives constitute a major trend accelerating market growth. Financial support, subsidies, and tax incentives under initiatives such as the National Mission on Electric Mobility and Atmanirbhar Bharat Abhiyan promote storage solutions tied to solar and wind energy integration. In July 2024, over INR 2,000 crore was pledged for energy storage and green hydrogen sectors during the 10th India Energy Storage Week.
The expansion of battery storage advancements enhances grid stability and efficiency. The Union power ministry’s Rs.5,400 crore viability gap funding initiative facilitates 30 GWh of Battery Energy Storage System capacity with Rs.18 lakh per MWh support. Projects like Delhi's first commercial standalone BESS, a 20 MW/40 MWh system, are raising affordable, reliable electricity standards.
MARKET GROWTH FACTORS
India’s growing energy demand, renewable energy adoption, and grid stability requirements are primary drivers of the energy storage market. The increasing deployment of solar and wind energy creates a pressing need for reliable storage to manage intermittency. Energy storage solutions support the goal of decarbonization and energy independence, leveraging higher funding and innovation ecosystems.
The government's proactive approach via policies such as the National Electric Mobility Mission Plan and Atmanirbhar Bharat Abhiyan fuels market expansion by promoting clean energy production and reducing fossil fuel reliance. Moreover, progressive regulatory frameworks mandating energy storage in grid infrastructure stimulate investments from private and public sectors.
Demand from electric vehicles (EVs) and associated charging infrastructure is another critical growth factor, necessitating efficient energy storage technologies. Rising environmental awareness and the economic benefits of minimizing power cuts through efficient storage contribute to market growth, encouraging wider adoption across residential, commercial, and utility sectors.
