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POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

8. Battery storage to play key role as EV charging demand set to reach 38 TWh by 2032

Battery Storage & Energy Demand Projections

• India will require 47 GW/237 GWh of Battery Energy Storage Systems (BESS) and 26 GW of
pumped hydro storage to meet the growing EV charging demand.

• EV charging energy demand is expected to rise to 38 TWh by 2031-32, contributing to an
estimated peak power demand of 366.4 GW.

• The National Electricity Plan (NEP) forecasts total electricity demand in India to reach 2,133 TWh
by 2031-32, with EV charging accounting for around 3% of this demand.

• Installed power generation capacity is expected to grow from 466 GW in January 2025 to 900 GW
by 2032, with 500 GW from renewable energy sources such as wind and small hydro.

EV Market Growth & Charging Patterns

• India’s cumulative EV sales reached 4.1 million units in FY 2023-24.
• By 2030, over 28 million EVs are projected to be on Indian roads.
• Annual EV sales distribution projection:

? 83% e-2 wheelers
? 10% e-4 wheelers
? 7% commercial vehicles (trucks, buses, three-wheelers)

• Charging trends:

? 70% of e-4 wheelers and e-2 wheelers will charge after 8 PM (off-peak).
? 60% of e-trucks will charge during the day.
? Intercity buses will primarily charge during the day, while intra-city buses will charge

overnight.
? Peak EV charging demand will occur between 9 PM - 5 AM and 12 PM - 2 PM.

Government Initiatives & Grid Balancing Solutions

• The Ministry of Power is implementing initiatives such as the Integrated Local Energy Systems
(ILES) collaboration with the EU to optimize energy integration across electricity, heating, cooling,
water, and waste management.

• Vehicle-to-Grid (V2G) technology is being explored to enable EVs to supply electricity back to the
grid, helping manage demand fluctuations.

• Battery storage expansion is expected to play a critical role in ensuring grid stability and reliable
power supply, supporting India’s EV adoption and clean energy transition goals.

India’s rapid EV growth will require massive investments in battery storage, charging infrastructure, and
grid modernization to support sustainable and efficient power distribution.

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