Himachal Pradesh Chief Minister Sukhvinder Sukhu announced that the state government had decided to explore the technologically advanced domain of Pumped Storage Projects (PSPs), which are regarded as one of the most reliable solutions for balancing power supply from renewable energy sources like solar and wind. According to an official statement, Sukhu emphasised the importance of these projects in ensuring a stable power grid.

During a recent cabinet meeting, the state government approved the allocation of two such projects. These include the 1630 MW Renukaji Pump Storage Project in Sirmaur district and the 270 MW Thana Plaun Pump Storage Project in the Beas Basin of Mandi district, both to be developed by Himachal Pradesh Power Corporation (HPPCL).

Sukhu highlighted that the state's hilly terrain makes it well-suited for Pumped Storage Projects. He explained that these projects, leveraging the state's unique geography, would help ensure grid stability by addressing power shortages during peak demand periods. This would be achieved by releasing stored water to generate electricity through turbines.

In a Pumped Storage Project system, water is pumped from a lower reservoir to a higher one using low-cost electricity, typically during off-peak hours. When electricity demand increases, the stored water is released back through turbines, generating electricity and maintaining energy supply.

The official statement further noted that work on both projects had already begun, featuring two distinct powerhouses—one for regular power generation and another specifically for the PSP system. The Renukaji Hydro Power Project will have a capacity of 40 MW, while the Thana Plaun Hydro Electric Project will generate 191 MW, with separate turbines dedicated to the PSP system.