Maharashtra Signs MoU for 1,500 MW Pumped-Storage Project

Maharashtra has taken a significant step towards bolstering its renewable energy infrastructure by signing a Memorandum of Understanding (MoU) for a 1,500 MW pumped-storage project. This initiative aims to enhance the state's energy storage capabilities, ensuring a more reliable and sustainable power supply.

The MoU was signed between the Maharashtra State Electricity Distribution Company Limited (MSEDCL) and the National Hydroelectric Power Corporation (NHPC) on November 11, 2025. The project, which is expected to be one of the largest pumped-storage projects in the country, will be located in the Western Ghats region of Maharashtra.

Pumped-storage hydropower is a method of storing and generating electricity by moving water between two reservoirs at different elevations. During periods of low electricity demand, water is pumped from the lower reservoir to the upper reservoir using excess electricity. When demand increases, the stored water is released back to the lower reservoir, generating electricity through turbines.

This technology is particularly useful for balancing the grid, as it can quickly respond to fluctuations in demand and supply, making it an ideal complement to intermittent renewable energy sources like solar and wind power. The 1,500 MW project in Maharashtra is expected to play a crucial role in the state's efforts to integrate a higher share of renewable energy into the grid.

The project is expected to create numerous job opportunities and boost the local economy. Additionally, it will contribute to reducing carbon emissions by providing a more stable and reliable power supply, which can help displace fossil fuel-based power generation.

The NHPC, a central public sector enterprise under the Ministry of Power, has extensive experience in developing and operating hydropower projects across India. The company's expertise will be crucial in ensuring the successful execution of the pumped-storage project in Maharashtra.

The state government has been actively promoting renewable energy and has set ambitious targets for increasing its share of clean energy in the power mix. The 1,500 MW pumped-storage project aligns with these goals and is expected to be a key component of Maharashtra's energy transition strategy.

The project is expected to enter the construction phase in the next few years, with operations slated to begin by 2030. The successful implementation of this project could serve as a model for other states and countries looking to enhance their energy storage capabilities and promote sustainable development.

In conclusion, the signing of the MoU for the 1,500 MW pumped-storage project in Maharashtra represents a significant milestone in the state's journey towards a more sustainable and resilient energy future. With the support of the NHPC and the commitment of the state government, this project has the potential to make a substantial impact on the renewable energy landscape in India.