Gujarat plans Blue Energy systems for Coastal areas and Thermal-linked BESS in Budget 2026
February 19, 2026
Gandhinagar: The Government of Gujarat’s Energy and Petrochemicals Department has outlined a forward-looking clean-energy strategy in its ₹4,019.86 crore budget estimates for 2026–27, placing particular emphasis on the preparation of Detailed Project Reports (DPRs) for Blue Energy systems in coastal regions and battery energy storage integration with thermal power plants.
These initiatives signal a policy shift toward energy independence, grid resilience, and next-generation storage solutions, alongside broader smart-grid and renewable innovation measures.
Blue Energy DPR for Coastal Energy Independence
A key provision in the budget is ₹5 crore earmarked for the preparation of a Detailed Project Report to develop Blue Energy systems along Gujarat’s coastline.
The proposed DPR will examine the technical feasibility, infrastructure requirements, and long-term generation potential of marine-based renewable energy sources, positioning coastal regions as self-sustaining clean-energy zones. The initiative aligns with Gujarat’s wider strategy to diversify renewable capacity beyond solar and wind while strengthening climate-resilient power generation.
Grant to GUVNL for Co-located BESS with Thermal Projects
To complement renewable expansion and improve grid stability, the budget also provides a ₹1 crore grant to GUVNL for undertaking a feasibility study and DPR preparation for co-located Battery Energy Storage Systems (BESS) alongside thermal power projects of GSECL in the state.
The study will evaluate:
-
Optimal storage capacity and integration models with existing thermal infrastructure
-
Load balancing and peak-demand management benefits
-
Operational flexibility to support renewable intermittency
Co-locating BESS with thermal stations is expected to enhance dispatch efficiency, reduce curtailment, and strengthen round-the-clock power reliability, forming a crucial bridge between conventional baseload generation and emerging renewable capacity.
Broader Clean-Energy and Grid Modernisation Measures
Alongside Blue Energy and BESS planning, the budget introduces several complementary initiatives:
-
₹500 crore loan provision for the Gujarat Wire-Free City Mission to shift overhead power networks underground for improved urban safety and reliability
-
₹100 crore to develop Green and Safe Zones around major pilgrimage centres
-
₹1 crore toward development of a Green Hydrogen ecosystem
-
₹50 crore to expand electric vehicle charging infrastructure across the state
-
₹25 crore share capital under the SARJAN agricultural feeder rejuvenation scheme
-
Creation of a ₹5 crore Energy Innovation Fund to accelerate emerging technologies
Strengthening Oversight and Electricity Safety
Administrative and safety capacity is also being expanded through:
-
Creation of 79 new posts in the Electrical Inspectorate
-
₹7 crore combined allocation for electricity safety awareness and specialised worker safety equipment
-
₹0.14 crore provision for a new vehicle for the Chief Electrical Inspector to support field oversight
Overall, Gujarat’s 2026–27 energy budget underscores a strategic transition toward coastal renewable exploration and grid-scale storage readiness, with the Blue Energy DPR and thermal-linked BESS feasibility planning forming the foundation for the state’s next phase of reliable, low-carbon power development. DeshGujarat
Recent Stories
- VUDA Clears ₹801 Crore Budget, ₹50 Crore Allotted for Ring Road Project
- SC Orders Status Quo in Bhadra Parisar Case; Stays Reinstatement of Street Vendors
- Hindu Minor Lured Into Love Trap, Fake Aadhaar Used to Book Hotel Room; Three Held in Ahmedabad
- Delivery of 10 New Trainsets for Ahmedabad Metro Likely to Commence from June 2026
- AMC Announces Ahmedabad Innovation and Startup Policy 2026, ₹250 Crore Fund Planned
