IFC and IndiGrid Collaborate on India’s Largest Utility-Scale Energy Storage Project

**IFC and IndiGrid Partner to Build India’s Largest Utility-Scale Energy Storage Project**

**Press Release**

**New Delhi/Mumbai, July 2, 2025** – In a significant step to bolster India’s renewable energy infrastructure, the International Finance Corporation (IFC) and IndiGrid [BSE: 540565|NSE: INDIGRID] have joined forces to develop a 180 MW/360 MWh standalone battery energy storage system in Gujarat. This project is poised to support the state’s clean energy objectives by enhancing grid stability and ensuring reliable power availability during peak demand periods.

IFC has committed INR 4.6 billion (approximately $55 million) in long-term financing for IndiGrid through a subscription to listed non-convertible debentures. This investment includes around $38.5 million from IFC’s own resources and approximately $16.5 million in concessional support from the Clean Technology Fund (CTF), which is part of the multi-donor trust funds under the Climate Investment Funds framework hosted by the World Bank.

India’s power sector is undergoing a transformative shift as the country strives to reach its target of 500 GW of clean energy capacity by 2030. The increasing integration of solar and wind energy presents new challenges in maintaining grid stability, managing peak loads, and ensuring reliability in dispatch. Utility-scale battery storage is emerging as a vital solution to these challenges, facilitating better management of peak loads and enhancing dispatch reliability while enabling greater integration of renewable energy sources.

Harsh Shah, Managing Director of IndiGrid, stated, “Battery Energy Storage Systems are fundamental to the future of energy in India. They address the intermittency of renewable sources, reduce reliance on fossil fuels, and enable flexible, reliable power delivery. With IFC’s support, we are excited to lead the deployment of one of India’s first and largest Battery Energy Storage System assets in Gujarat. This project marks a strategic milestone in establishing next-generation infrastructure that is clean, resilient, and ready for the future.”

Imad N. Fakhoury, Regional Director for South Asia at IFC, remarked, “Expanding access to reliable and affordable electricity is crucial for development and aligns with IFC’s mission in emerging markets. Battery energy storage is essential for diversifying India’s energy mix and ensuring that clean power is available during peak demand periods. IndiGrid has been a reliable partner for IFC in promoting sustainable and inclusive infrastructure in India. Our latest investment supports Gujarat’s goal of achieving 100 GW of renewable capacity by 2030 and serves as a replicable model for other states as they develop next-generation commercially viable energy solutions.”

This investment, made in the quarter ending June 30, 2025, builds on the existing collaboration between IFC and IndiGrid, reflecting their shared vision of catalyzing investments in clean, inclusive, and commercially viable energy solutions. Since 2023, IFC has collectively provided a credit line of INR 32.5 billion (approximately $380 million) to IndiGrid.

**About IFC**

The International Finance Corporation (IFC), a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. Operating in over 100 countries, IFC utilizes its capital, expertise, and influence to create markets and opportunities in developing nations. In the fiscal year 2024, IFC committed a record $56 billion to private companies and financial institutions in developing countries, leveraging private sector solutions and mobilizing private capital to foster a world free of poverty on a livable planet. For more information, visit [www.ifc.org](http://www.ifc.org).

**About IndiGrid**

IndiGrid [BSE: 540565 | NSE: INDIGRID] is the first Infrastructure Investment Trust (InvIT) in the Indian power sector. It owns 43 power projects, comprising 53 transmission lines spanning over 9,336 circuit kilometers, 16 substations with a transformation capacity of approximately 25,050 MVA, around 1.15 GWAC (approximately 1.5 GWp) of solar generation capacity, and 450 MW / 900 MWh of Battery Energy Storage Systems. IndiGrid manages assets valued at over ₹319 billion (approximately USD 3.7 billion). The investment manager for IndiGrid is wholly owned by KKR. For more details, please visit [www.indigrid.co.in](http://www.indigrid.co.in).

**Contacts**

Ankita Bhalla
+91 9810360492
abhalla4@ifc.org

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