Himachal Pradesh Chief Minister Sukhvinder Sukhu has reportedly announced that the state government has decided to enter the field of Pumped Storage Projects (PSPs), which are considered one of the most reliable methods for balancing power supply from renewable energy sources such as solar and wind.

According to an official statement, the state cabinet recently approved the allocation of the first two such projects to the Himachal Pradesh Power Corporation Ltd. (HPPCL). These include the 1630 MW Renukaji Pumped Storage Project in Sirmaur district and the 270 MW Thana Plaun Pumped Storage Project in the Beas Basin of Mandi district.

Sukhu is said to have emphasised that Himachal Pradesh’s hilly geography makes it ideal for developing PSPs, which are essential for ensuring grid stability by addressing power shortages during periods of high demand. The projects would function by pumping water to a higher elevation using low-cost electricity during off-peak hours and then releasing it back through turbines to generate electricity when demand increases.

Both projects are reportedly already underway, featuring two separate powerhouses – one for regular power generation and another for the PSP system. The Renukaji Hydro Power Project is expected to have a capacity of 40 MW, while the Thana Plaun Hydro Electric Project will generate 191 MW, with additional turbines dedicated to the PSP system.

The Chief Minister is understood to have stated that the development of PSPs is a priority under the Swaran Jayanti Policy 2021, with proposals for new projects and Pre-Feasibility Reports to be invited every six months. These initiatives are in line with the government’s efforts to increase revenue generation through hydro projects and elevate Himachal Pradesh’s prosperity.

Additionally, it was reported that several entities have identified PSP projects across the state. These include SJVNL, which has identified four projects with a combined capacity of 2,570 MW, BBMB with eight projects totalling 13,103 MW, NTPC Limited with two projects of 2,400 MW, the private sector with seven projects totalling 2,074 MW, and HPPCL with two projects having a potential capacity of 1,900 MW.