India Energy Storage System Market Overview, 2029

The Indian energy storage system (ESS) market is poised for a metamorphosis, driven by a strategic confluence of factors unlike any other in the world. While the global narrative emphasizes grid integration for renewables, India presents a unique opportunity – the large-scale deployment of ESS alongside microgrids to tackle the challenge of rural electrification. Unlike their urban counterparts, millions of Indians residing in remote villages face unreliable or nonexistent grid connectivity. This is where microgrids, localized power generation systems powered by renewable sources like solar and wind, come in. However, the intermittent nature of these renewables necessitates a reliable storage solution. Enter ESS – a game-changer for microgrids. By storing excess solar or wind energy during peak generation and releasing it during periods of low production, ESS ensures consistent power supply in these remote areas. This empowers not only basic needs like lighting but also opens doors for economic activity through irrigation pumps, small businesses, and even internet connectivity. The Ministry of New and Renewable Energy (MNRE) has launched several initiatives promoting microgrid development with ESS integration. Notably, the revamped KUSUM scheme allocates $6.2 billion for solar power projects in rural areas, with a specific focus on incorporating storage solutions. This government backing, coupled with the vast potential for microgrid development in India (around 2,000 villages are identified as suitable candidates), paints a lucrative picture for ESS players. Furthermore, unlike established markets where large-scale grid integration dominates, India's focus on microgrids opens doors for innovative business models. Pay-as-you-go financing structures, where villagers pay a minimal fee for electricity consumed, are being explored to ensure affordability. Additionally, the emphasis on ‘local for vocal’ initiatives presents an opportunity for domestic ESS manufacturers to gain a competitive edge.
According to the research report "India Energy Storage System Market Overview, 2029," published by Bonafide Research, the Indian Energy Storage System market is projected to add more than 17 Billion USD from 2024 to 2029. The Indian energy storage system (ESS) market pulsates with a unique blend of trends, drivers, and challenges. A key driver is the government's ambitious renewable energy targets, aiming for 450 GW of installed capacity by 2030. This necessitates large-scale energy storage solutions to integrate renewable sources like solar and wind into the grid effectively. Policy initiatives like the viability gap funding scheme for grid-connected battery storage and the setting up of pilot projects are propelling market growth. Additionally, the burgeoning electric vehicle (EV) market in India is creating a demand for lithium-ion battery storage solutions for charging infrastructure and grid stability management. Technological advancements are another prominent trend. The declining costs of lithium-ion batteries, a dominant technology in the Indian ESS market, are improving the economic viability of storage solutions. Furthermore, research into alternative battery chemistries like Sodium-ion, with its potential for lower costs and abundant raw material availability in India, is gaining traction. Additionally, advancements in Battery Management Systems (BMS) are optimizing battery performance and safety, fostering wider adoption. However, the path forward is not without hurdles. High upfront costs of ESS compared to traditional power plants remain a challenge. Financing models that spread the cost of investment over the lifespan of the system are crucial for market expansion. Furthermore, a robust regulatory framework for grid integration of ESS and clear guidelines for participation in electricity markets are needed to incentivize private sector investment. Additionally, a skilled workforce for installation, operation, and maintenance of ESS is essential.
Batteries are projected to dominate the Indian ESS market in the near future. Lithium-ion (Li-ion) batteries are the frontrunners due to their high energy density, scalability, and relatively fast response times. Their growing adoption in grid-scale applications for peak shaving, frequency regulation, and integration of renewable energy sources like solar and wind is a key driver. However, their high upfront cost and limited cycle life compared to some other technologies remain challenges. Sodium-ion batteries are emerging as a potential alternative due to their lower cost and abundant raw material availability in India. However, their commercial viability at scale is yet to be fully established. Lead-acid batteries still hold a niche in certain applications like backup power for telecom towers due to their low cost and established technology. India boasts a significant installed capacity of Pumped-storage Hydroelectricity (PSH). This mature technology utilizes reversible hydroelectric plants to store energy by pumping water to a higher reservoir during off-peak hours and releasing it through turbines to generate electricity during peak demand periods. PSH offers several advantages, including large storage capacity, long lifespan, and dispatchability. However, its development is limited by geographical constraints requiring suitable topography for reservoir construction. Additionally, the high upfront cost and long lead times for PSH project development pose challenges. Thermal Energy Storage (TES) offers an alternative for storing excess thermal energy, which can be later used for power generation, heating, or cooling applications. This technology is particularly relevant for India's solar-rich regions, where TES can help address the challenge of intermittency in solar power generation. Molten salt TES systems are being explored for storing thermal energy from concentrated solar power (CSP) plants. However, the high cost of TES systems and the nascent stage of this technology in India limit its current market share. Flywheel Energy Storage (FES) utilizes the principle of rotating a flywheel at high speed to store kinetic energy. This technology offers very fast response times, making it suitable for applications requiring high-power bursts, such as improving power quality and mitigating voltage sags. However, the limited energy storage capacity and relatively high energy losses during charge-discharge cycles restrict its application to niche segments within the Indian ESS market. The "Other Types" segment encompasses emerging technologies like compressed air energy storage (CAES) and redox flow batteries. CAES utilizes compressed air for energy storage, while redox flow batteries store energy through reversible chemical reactions. These technologies hold promise for the future, but their commercial viability in India is limited by factors like high development costs and lack of established infrastructure.
The residential ESS market in India is at a nascent stage but brimming with potential. Consumers are increasingly burdened by rising electricity tariffs and unreliable grid supply, making them receptive to solutions like rooftop solar installations with battery storage for self-consumption. This not only reduces dependence on the main grid but also offers protection against power outages. Furthermore, the burgeoning electric vehicle (EV) market is expected to create significant demand for home-based ESS for EV charging. Integrating ESS with rooftop solar PV systems can facilitate cost-effective EV charging, promote grid stability by managing peak demand charges, and contribute to a cleaner transportation sector. Government initiatives promoting rooftop solar installations and EV adoption are expected to act as a catalyst for the residential ESS segment in the coming years. The commercial and industrial (C&I) segment currently dominates the Indian ESS market. C&I consumers utilize ESS for various applications, including peak shaving to reduce electricity bills, improving power quality to ensure smooth operations of sensitive equipment, and maintaining business continuity during power outages. Industrial facilities with high and fluctuating power demands, such as manufacturing units and data centers, find ESS particularly beneficial for optimizing energy consumption and costs. Additionally, the growing focus on renewable energy integration within the C&I sector is creating demand for ESS to manage the intermittency of renewable sources like solar and wind power. Government regulations mandating minimum renewable energy purchase obligations for C&I consumers are further driving the adoption of ESS in this segment, as it enables them to effectively integrate these renewable sources into their energy mix.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Emergency Medical Equipment market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Product Type
• Emergency Resuscitation Equipment
• Diagnostic Medical Equipment
• Personal Protective Equipment
• Patient Handling Equipment
• Other Equipment

By Application Type
• Trauma Injuries
• Cardiac Care
• Respiratory Care
• Oncology
• Others



By End User
• Hospitals
• Specialty Clinics
• Ambulatory Surgical Centers
• Others

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Emergency Medical Equipment industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.