Rs 30 Lakh Crore Investment Forecast for India's Power Sector
India's power sector is forecast to attract Rs 30 lakh crore in investment over the next five to six years, rating agency ICRA reported on 24 October 2026. The projection underlines the scale of capital deployment expected across generation segments, including hydroelectric and pumped storage power, where project pipelines are already substantial.
For suppliers, contractors and equipment makers tracking power projects in India, the forecast signals an extended period of procurement and construction activity across multiple states.
Hydel Pipeline: 2,129 Projects Tracked Nationwide
Projects India tracks 2,129 live projects in the Hydel Based Power sub-sector. Five new projects were added to that database in the last 90 days, reflecting continuing project origination even as a large share of the existing pipeline remains in early-stage approval processes.
The stage breakdown illustrates where the near-term supply chain opportunity is concentrated:
| Project Stage | Number of Projects |
|---|---|
| Under Approvals | 1,070 |
| Construction Started | 264 |
| Completed | 247 |
| Planning | 208 |
| Hold | 142 |
| Approvals Received | 70 |
With 264 projects in active construction and a further 70 with approvals already received, there is an immediate base of work for civil contractors, turbine and equipment suppliers, and project management firms. The 1,070 projects still under approvals represent the medium-term pipeline as clearances are obtained.
Geographic Concentration: Where the Projects Are
The tracked hydel project pipeline is heavily weighted towards Himalayan and central-Indian states. Himachal Pradesh leads with 438 projects, followed by Arunachal Pradesh (415) and Uttarakhand (259). Maharashtra accounts for 182 projects, with Jharkhand at 98 and Madhya Pradesh at 76.
This distribution reflects India's topographic endowment for run-of-river hydropower in the north and north-east, alongside growing interest in pumped storage projects — which can be sited more flexibly — across peninsular states. Suppliers considering where to establish regional presence or logistics capability should weigh these concentrations when planning business development.
Sample Projects Across the Pipeline
Among the projects currently tracked by Projects India, a cross-section illustrates the range of scale, geography and promoter type active in the sub-sector:
| Project | Promoter | Location | Value (Rs crore) | Stage |
|---|---|---|---|---|
| Hydel Power Project, Sileru | Andhra Pradesh Power Generation Corporation Limited (APGENCO) | Visakhapatnam, Andhra Pradesh | 11,054 | Approvals Received |
| Pumped Storage Hydel Power Project, Badarwa | Jhariya Ananturja Private Limited | Sonbhadra, Uttar Pradesh | 7,457.68 | Under Approvals |
| Hydroelectric Power Project, Pune | Adani Renewable Energy Fifty Two Limited | Pune, Maharashtra | 7,048 | Under Approvals |
| Pumped Storage Hydro Power Project, Kalahandi | Odisha Hydro Power Corporation Limited | Kalahandi, Odisha | 3,160 | Under Approvals |
| Bhivpuri Off-Stream Pumped Storage Project | Tata Power | Raigad, Maharashtra | 2,470 | Construction Started |
| Hydroelectric Project, Shongtong Karcham | Himachal Pradesh Power Corporation Limited | Kinnaur, Himachal Pradesh | 2,807 | Construction Started |
| Pumped Hydropower Storage Project, Sirohi | Avaada Group | Sirohi, Rajasthan | 5,800 | Under Approvals |
| Dikhu Hydro Power Project Dam-III | Manu Energy Systems Private Limited | Nagaland | 1,950 | Under Approvals |
| Hydro Electric Project, Churah | Himachal Pradesh Power Corporation Limited | Chamba, Himachal Pradesh | 350 | Nearly Completion |
| Hydroelectric Project, Thana Plaun HEP | Himachal Pradesh Power Corporation Limited | Mandi, Himachal Pradesh | Not recorded | Approvals Received |
The full list of hydel based power projects in India tracked by Projects India can be searched by state, stage, promoter and value.
What this means for suppliers and contractors
The ICRA investment forecast, set against an active hydel project pipeline of more than 2,100 tracked schemes, points to sustained procurement demand across civil works, electromechanical equipment, tunnelling, dam construction and transmission infrastructure over the coming years.
For contractors and equipment suppliers, the most immediate opportunities lie in the 264 projects where construction has already started and the 70 projects where approvals have been received — together representing a combined active-to-near-active pool. Himachal Pradesh, Arunachal Pradesh and Uttarakhand together account for over half of all tracked projects, making north and north-eastern India the primary geographic focus for firms considering resource or depot placement.
Pumped storage is emerging as a distinct sub-category within the pipeline, with multiple large-value schemes from promoters including Tata Power, Avaada Group, Adani Renewable Energy and state utilities now at various approval and construction stages across Maharashtra, Rajasthan, Uttar Pradesh and Odisha. This category typically involves different civil and electromechanical specifications from conventional run-of-river hydro, and suppliers with relevant capability should monitor these projects separately.
Projects India currently records zero open tenders in the broader Power Projects sector at this time; however, the volume of projects moving through approvals suggests tender activity is likely to increase as clearances are obtained. Readers can monitor live tenders on the Projects India platform as they are published.
Frequently asked questions
How much investment is India's power sector expected to attract?
Rating agency ICRA reported on 24 October 2026 that India's power sector is forecast to attract Rs 30 lakh crore in investment over the next five to six years. The figure covers the broader power sector, not hydel alone.
How many hydel power projects are currently active in India?
Projects India tracks 2,129 live projects in the Hydel Based Power sub-sector. Of these, 264 are in active construction, 1,070 are under approvals, and 70 have already received approvals and are approaching the construction stage.
Which states have the most hydroelectric projects in India?
Based on Projects India data, Himachal Pradesh leads with 438 tracked hydel projects, followed by Arunachal Pradesh with 415 and Uttarakhand with 259. Maharashtra has 182 projects, Jharkhand 98, and Madhya Pradesh 76.
What is pumped storage hydro and which companies are developing it in India?
Pumped storage projects store energy by pumping water uphill and releasing it to generate power on demand. Projects India tracks schemes from promoters including Tata Power, Avaada Group, Adani Renewable Energy and state utilities in Maharashtra, Rajasthan, Uttar Pradesh and Odisha.
