The Assam Cabinet has given the green light to a significant renewable energy project, approving a 900 MW pumped storage project (PSP) to be developed by Hinduja Renewables Energy Pvt. Ltd. This project, slated for West Karbi Anglong district, represents a substantial investment of ₹5,400 crore and is a crucial step towards Assam's goal of achieving 2 GW of PSP capacity by 2030. This initiative is expected to significantly boost grid stability and enhance renewable energy storage capabilities within the state.
Pumped storage projects are a type of hydroelectric energy storage system. They work by pumping water from a lower reservoir to a higher reservoir during periods of low electricity demand, typically at night or during off-peak hours. This process stores potential energy. When electricity demand is high, the stored water is released back down to the lower reservoir, passing through turbines to generate electricity. This technology allows for the efficient storage and dispatch of energy, making it a valuable asset for grid management, especially with the increasing integration of intermittent renewable energy sources like solar and wind power.
The Assam government's focus on pumped storage projects aligns with the broader national and global trends towards cleaner and more sustainable energy systems. By adding storage capacity, Assam can better manage the variability of renewable energy sources and ensure a more reliable electricity supply for its citizens and industries. The 900 MW PSP will play a vital role in absorbing excess electricity generated during periods of low demand and releasing it during peak hours, thereby stabilizing the grid and reducing the need for conventional fossil fuel-based power plants.
In addition to the pumped storage project, the Assam Cabinet has also approved the establishment of a ₹3,000 crore Assam Industrial and Green Growth Fund. This fund, registered with SEBI as an Alternate Investment Fund, will have an anchor investment of ₹500 crore from the state government. Its primary objective is to channel long-term capital into key sectors such as renewable energy, agro-tech, tourism, and MSMEs, fostering sustainable and green economic growth in the state. This initiative demonstrates Assam's commitment to promoting environmentally friendly industries and attracting investments that support long-term economic development.
Furthermore, the cabinet approved the Assam State Mineral Exploration Trust Rules, 2025, to regulate and promote the sustainable exploration of minor minerals.
These decisions reflect a comprehensive approach to sustainable development, encompassing renewable energy, industrial growth, and resource management. By investing in pumped storage, promoting green industries, and ensuring responsible mineral exploration, Assam is positioning itself as a leader in sustainable development and paving the way for a cleaner, more prosperous future.
