The Maharashtra government has inked an MoU for a Rs 8,000 crore, 1,500 MW pumped-storage hydroelectric project aimed at expanding the state’s renewable-energy integration capacity. The project will store surplus renewable power and release it during peak-load hours to stabilize the grid.

This large-scale initiative reflects Maharashtra’s commitment to investing in long-duration energy storage, a key enabler of India’s decarbonization goals. The facility will play a vital role in reducing dependence on coal-based peaking power.

The pumped-storage concept uses water reservoirs at different elevations, pumping water up during low-demand hours and generating electricity as it flows down during peak periods. Maharashtra’s favourable topography has made it a hub for such developments, with multiple private players exploring similar ventures.

By advancing grid resilience and renewable-power efficiency, the new project strengthens the state’s leadership in energy innovation and sustainability. 

The MoU is also expected to attract additional private investment in allied green-tech sectors.