IFC invests USD 75 million in IndiGrid for grid-scale battery storage
The International Finance Corporation will invest USD 75 million (about INR 625 crore) in IndiGrid to build India's first grid-connected 250 MWh battery energy storage system. The project creates a replicable commercial model for utility-scale storage central to India's renewable integration and 500 GW non-fossil capacity target.
The International Finance Corporation, part of the World Bank Group, announced a USD 75 million (approximately INR 625 crore) investment in IndiGrid, India's first publicly listed power sector infrastructure investment trust, to develop the country's first grid-connected Battery Energy Storage System. The 250 MWh project, located in the national capital region, is India's first private sector-led utility-scale BESS under a public-private framework. It follows a 20-year Storage Service Agreement awarded by the Solar Energy Corporation of India through competitive bidding.
India's power sector, grid operators, and renewable generators are the primary beneficiaries, as the battery system stores excess off-peak power and releases it during peak demand to improve grid flexibility and reliability. IndiGrid, managed by KKR-backed Sterlite Investment Managers, leads delivery. The project also supports transmission reforms and renewable integration spearheaded by the Ministry of Power and the Central Electricity Authority, and marks IFC's first equity investment in energy storage globally, signalling investor confidence in India's transition.
IndiGrid aims to commission the project by 2026. Sector participants should monitor it as a template for future energy storage tenders and a route to unlock private capital across India's clean energy value chain. The investment complements India's 2030 target of 500 GW non-fossil fuel capacity and is expected to reduce curtailment of solar and wind generation while cutting peak-hour thermal use. Developers and investors should watch how the commercial model and SECI bidding structure shape subsequent storage procurement.
Key figure — IFC investment: USD 75 million (about INR 625 crore)
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