Odisha has approved the financial framework and estimated investment of ₹4,708.64 crore for the 600 MW Upper Indravati Pumped Storage Project (PSP) in Kalahandi district, marking a significant step towards expanding the state’s energy storage infrastructure. The project, planned at Ranibahal, is expected to strengthen grid stability, improve electricity availability during peak demand and support the integration of renewable energy.
The approval was granted during a state cabinet meeting chaired by Chief Minister Mohan Charan Majhi. The project is expected to become one of Odisha’s major pumped storage developments, supporting the state’s growing electricity requirements and renewable energy expansion.
Upper Indravati PSP to Generate 1,040 Million Units of Peak Power
The Upper Indravati Pumped Storage Project is designed to store surplus electricity during off-peak hours and release it during periods of high electricity demand.
According to project details, the 600 MW facility is expected to generate approximately 1,040 million units of peak electricity, helping improve power availability during periods of increased consumption.
Pumped storage systems use electricity to pump water to an upper reservoir when power is available in excess. The stored water is subsequently released through turbines to generate electricity when demand rises, providing flexibility to the grid.
OHPC to Execute Project, MEIL Selected as EPC Contractor
Odisha Hydro Power Corporation Limited (OHPC) has been entrusted with executing the Upper Indravati Pumped Storage Project.
Megha Engineering & Infrastructures Ltd. (MEIL) has been selected as the engineering, procurement and construction (EPC) contractor. The construction contract has been valued at ₹3,372.88 crore, excluding Goods and Services Tax (GST).
The state government has targeted commissioning of the project by FY2030-31.
Odisha Strengthens Energy Storage Infrastructure
Once operational, the Upper Indravati PSP is expected to improve electricity supply flexibility by balancing demand and generation across different periods of the day.
The project will also support renewable energy integration, particularly solar and wind power, whose generation varies with weather conditions and time of day. Pumped storage facilities can help absorb surplus renewable electricity and make it available during periods of lower generation or higher consumption.
The development is also expected to support economic and industrial activity in Kalahandi and adjoining areas through improved electricity availability.
With the approval of the Upper Indravati project, Odisha is advancing its energy storage infrastructure to strengthen grid reliability and support the state’s long-term power sector requirements.
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