India battery storage capacity gap
Analysis based on 6 articles · First reported Aug 23, 2026 · Last updated Aug 24, 2026
The gap between India's renewable capacity growth and domestic battery manufacturing may lead to increased imports of battery components, affecting trade balances and domestic manufacturing prospects. Companies involved in battery storage and renewable energy in India may see opportunities for growth, while reliance on imports could pose supply chain risks.
Industry stakeholders and experts highlighted a significant gap between India's growing renewable energy capacity and its domestic battery manufacturing capability. India's domestic battery manufacturing currently accounts for less than 1% (2 GWh) of its approximately 260 GWh demand pipeline from competitive tenders in 2026. Experts cautioned against treating import dependence as a reason to slow deployment, emphasizing the immediate need for storage to firm up renewable capacity. NTPC Chairman Amandeep Singh disclosed that NTPC has been allocated 5 GWh of battery energy storage capacity under the Viability Gap Funding scheme. Wood Mackenzie research indicated it would take more than a decade for India to achieve self-sufficiency in battery storage, leaving the country structurally dependent on imports. China controls between 85% and 98% of global capacity across major supply chain components.
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