India Sees Big Drop in Solar-Plus-Storage Power Prices in 2025

India Sees Big Drop in Solar-Plus-Storage Power Prices in 2025

December 31, 2025

India’s renewable energy sector recorded substantially lower tariffs for solar power combined with battery storage in 2025, according to recent auction results, with the cheapest bid falling to ₹2.70 per unit. This represents a significant decline compared with the previous year, as more developers compete to supply clean, dispatchable power at lower costs. 

In 2025, power agencies moved away from standalone solar tenders and instead focused on hybrid solar-plus-storage projects to deliver round-the-clock electricity and tackle the intermittency of renewable generation. A total of 11 such projects, amounting to nearly 9.85 GW in capacity, were put out to bid, and these secured the lowest discovered tariffs in the year’s auctions. At the top of the list, CEIGALL India won a 220 MW segment in the Rewa Ultra Mega Solar tender with a quoted tariff of ₹2.7 per kWh for a 600 MW solar installation paired with battery energy storage in Madhya Pradesh’s Morena Solar Park. ACME Solar Holdings also secured 220 MW at a slightly higher ₹2.765 per kWh. 

In another major auction, a consortium including Shivalaya Construction, Purvah Green Power and Welspun Renewable Energy offered power at ₹2.86 per kWh to develop 2,000 MW of interstate solar capacity coupled with 1,000 MW/4,000 MWh of storage under the Solar Energy Corporation of India’s Tranche XX tender. Other notable bidders achieved tariffs ranging from around ₹3.09 to ₹3.33 per kWh in competitive tenders by NHPC and SJVN for large-scale solar plus storage schemes. These results reflect growing confidence among developers and procurers in hybrid renewable projects and point to a trend of declining costs for firm and flexible clean energy.