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India’s Energy Storage Sector Accelerates in 2025 Amid Surge in BESS Tenders – EQ

India’s Energy Storage Sector Accelerates in 2025 Amid Surge in BESS Tenders – EQ

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In Short : India’s energy storage market has witnessed sharp growth in 2025, driven by a surge in battery energy storage system tenders. Rising renewable energy capacity, grid stability needs, and supportive policy frameworks are accelerating demand for large-scale storage projects. The BESS tender boom signals a critical shift toward round-the-clock clean power and grid resilience.

In Detail : India’s energy storage market has entered a high-growth phase in 2025, supported by a significant increase in battery energy storage system tenders across the country. The rapid pace of tendering reflects the growing importance of storage solutions in managing the variability of renewable energy generation.

As solar and wind installations expand at scale, grid operators are increasingly turning to energy storage to balance supply and demand. BESS projects are emerging as essential infrastructure to ensure grid stability, peak load management, and reliable power delivery during non-generation hours.

Government agencies and power distribution companies have accelerated tender issuance for standalone and hybrid storage projects. These tenders include storage-linked renewable projects, round-the-clock power supply contracts, and grid-scale BESS deployments aimed at improving system flexibility.

The surge in tenders has attracted strong interest from domestic developers, global energy companies, and technology providers. Competitive bidding has led to declining storage tariffs, improving project viability and strengthening the commercial case for large-scale energy storage investments.

Energy storage is increasingly being viewed as a strategic asset rather than a supporting technology. In 2025, storage systems are being integrated into long-term power planning to address peak demand, reduce curtailment of renewable energy, and defer costly grid upgrades.

Policy support has played a crucial role in accelerating the market. Clear guidelines on storage procurement, evolving market mechanisms, and incentives for renewable-plus-storage projects have helped reduce uncertainty and encourage private sector participation.

Advances in battery technology and falling costs have further boosted adoption. Improved efficiencies, longer battery life, and better safety standards are making BESS projects more attractive for utilities and investors alike.

India’s storage market is also benefiting from increased participation by state governments, which are exploring storage solutions to address regional grid challenges. This decentralised demand is helping create a diversified and resilient project pipeline.

The rapid expansion of the energy storage sector is expected to unlock new business models, including capacity services, ancillary markets, and energy arbitrage. These opportunities are likely to shape the next phase of power market reforms in India.

With BESS tenders gaining momentum in 2025, India’s energy storage ecosystem is moving from pilot projects to large-scale deployment. The trend marks a decisive step toward enabling reliable, round-the-clock renewable energy and strengthening the country’s long-term energy transition strategy.

Anand Gupta Editor - EQ Int'l Media Network