State Government allocates 1,900 MW capacity projects in Sirmaur and Mandi districts

Shimla—In a strategic move towards enhancing energy stability, Himachal Pradesh has initiated its first steps into the advanced Pumped Storage Projects (PSPs) domain. These projects, known for their efficiency in balancing power supply from renewable energy sources like solar and wind, are set to play a pivotal role in the state’s energy future.

The state cabinet recently approved the allocation of two significant PSPs—the 1,630 MW Renukaji Pump Storage Project in Sirmaur and the 270 MW Thana Plaun Pump Storage Project in Mandi. Both projects have been awarded to the Himachal Pradesh Power Corporation Ltd (HPPCL).

How Pumped Storage Projects Work

Pumped Storage Projects use low-cost electricity during off-peak hours to pump water from a lower to a higher reservoir. During high-demand periods, the stored water is released back through turbines, generating electricity and ensuring a stable power supply. The Renukaji Hydro Power Project will also have a conventional 40 MW capacity, while the Thana Plaun Hydro Electric Project will generate 191 MW. Separate turbines will manage the Pumped Storage project systems, providing an efficient and adaptable solution to electricity demand fluctuations.

In a statement regarding the government’s approach, Chief Minister Thakur Sukhvinder Singh Sukhu said, “Himachal Pradesh, being a hilly state, is ideally suited for Pumped Storage Projects. These projects will ensure grid stability and help mitigate power shortages during peak demand periods.”

He further added, “Our commitment to hydro projects is not just about energy; it is about long-term economic prosperity for Himachal Pradesh. Through initiatives like the Swaran Jayanti Policy, we ensure that the state leads in sustainable energy solutions while boosting revenue generation.”

The state’s emphasis on PSPs aligns with its broader goal of maximizing the potential of renewable energy sources. Under the Swaran Jayanti Policy, 2021, the state has prioritized PSP development, with proposals being invited every six months for identified and self-identified PSPs.

Organizations including SJVN Ltd, BBMB, and NTPC have also identified various PSP projects across the state. SJVN has recognized four projects with a total capacity of 2,570 MW, while BBMB has outlined eight projects with a combined capacity of 13,103 MW. NTPC and private sector players have identified additional projects, further boosting the state’s renewable energy prospects.

As the work on the Renukaji and Thana Plaun projects progresses, Himachal Pradesh is set to become a significant player in sustainable energy, ensuring long-term grid stability and economic growth.