India’s energy storage sector is poised for a breakthrough decade, with Behind-the-Meter (BTM) stationary storage market projected to grow from 32 GWh annual demand in 2025 to over 39 GWh by 2033, a report stated.

According to the report by India Energy Storage Alliance (IESA), the BTM systems include on site energy generation and storage located on the customer’s side of the utility meter.

These BTMs are like rooftop solar panels, battery storage, as well as batteries for backup applications installed with UPSA, inverters, and telecom towers.

These systems enable direct use of generated or stored energy without passing through the grid.

As the cost of lithium-ion batteries and solar-plus-storage systems continues to tumble, more businesses and consumers across India are turning to on-site energy storage to manage rising grid tariffs and ensure reliable power.

In 2024, the levelized cost of energy from a rooftop solar system with storage hovering around Rs 6-7 per kWh, is already approaching parity with average commercial grid tariffs in key states like Maharashtra, Tamil Nadu, and Karnataka.

The IESA analysts predict that by 2026, solar-plus-storage will be cost-competitive for more commercial users nationwide, with industrial users expected to follow closely behind.

"The projected growth to 39 GWh by 2033 reflects not just surging demand, but a paradigm shift in how businesses and consumers interact with energy," Debmalya Sen, President, IESA, said.

The report reveals that while lead acid batteries still dominate the BTM landscape, holding more than 85 per cent of the market in 2025, lithium-ion technology is rapidly gaining ground.

In the telecom sector alone, lithium-ion batteries now account for an impressive 77 per cent of new installations.

The UPS and rooftop solar segments are also seeing a good momentum with respect to Lithium penetration, it stated Vinayak Walimbe, Managing Director of Customised Energy Solutions (CES), emphasised that the research shows that the economics of solar plus storage are now compelling for commercial and industrial users.

The CES is pioneer and founder of the industry body IESA.

The report further notes that the drivers of the BTM storage market are evolving as India’s power reliability improves.

Published on April 13, 2026