JSW Energy PSP Two, a subsidiary of JSW Energy, has signed an energy storage facility agreement with the Maharashtra State Electricity Distribution Company (MSEDCL) to supply 1,500 MW/12,000 MWh of power from pumped hydro storage projects.

The agreement covers a 40-year period, during which JSW Energy will receive a fixed capacity charge of ₹8.47 million (~$100,743)/MW/annually.

The Bhavali Pumped Hydro Project, located in Maharashtra’s Nashik and Thane districts, will offer an 8-hour discharge capacity, with a maximum continuous discharge of 5 hours.

The project is set to be completed within 48 months.

The Central Electricity Authority recently approved Tata Power’s Bhavali project and the Bhivpuri 1,000 MW pumped hydro energy storage project. Both projects are expected to be operational by 2028 and provide over 15 GWh of energy storage capacity.

“By integrating advanced energy storage solutions, this project will not only enhance grid stability but also reinforce our commitment to provide sustainable and reliable power,” said Sharad Mahendra, Joint Managing Director and CEO of JSW Energy.

JSW Energy’s secured energy storage capacity currently totals 16.2 GWh, consisting of 14.4 GWh of pumped hydro storage and 1.8 GWh of battery energy storage.

The company’s overall locked-in generation capacity stands at 18.2 GW, including 7.7 GW in operation, 2.1 GW under construction across wind, thermal, and hydro, and an 8.3 GW renewable energy pipeline.

JSW Energy aims to achieve 20 GW of generation capacity and 40 GWh of energy storage capacity by 2030.

Recently, MSEDCL issued a letter of intent to Torrent Power to procure 1,500 MW/12,000 MWh of energy storage capacity from a pumped hydro storage project for 40 years. Torrent Power plans to supply the storage capacity from its upcoming pumped hydro storage project in Raigad, Maharashtra.