Gandhinagar: The Government of Gujarat today rolled out the Gujarat Pumped Storage Project Policy 2025 to establish the State as a national hub for energy storage. The policy sets a target to achieve 75 GWh of storage capacity and attract ₹75,000 crore in investment by 2035.

Projects installed and commissioned during this period are eligible for incentives for 40 years or the lifespan of the project. These incentives include exemptions from electricity duty on input renewable energy and relaxations in water charges for specific project types. The policy categorises project sites into four groups, covering allotments through nomination, competitive bidding, and self-identified off-stream closed-loop systems.

Gujarat Urja Vikas Nigam Limited (GUVNL) and Gujarat Power Corporation Limited (GPCL) serve as the nodal agencies for project implementation. A three-tier administrative mechanism oversees the process, consisting of an Apex Committee, a State-Level Executive Committee, and a District-Level Implementation Committee. The Chief Minister chairs the Apex Committee.

The policy aims to mitigate grid integration challenges caused by large-scale renewable energy penetration while fostering green jobs and indigenous technology development. By 2047, the State targets the establishment of 100 pumped storage projects.

The Energy & Petrochemicals Department (EPD) issued this policy to align with India’s “Panchamrit” climate goals, which include reaching 500 GW of non-fossil energy capacity by 2030 and Net Zero emissions by 2070. It also supports Gujarat’s objective to reach a $3.5 trillion Gross State Domestic Product (GSDP) by 2047. The policy remains in operation for 10 years from its notification date. DeshGujarat