Indian hydropower producer NHDC plans to build a 525 MW pumped storage project near a dam in the Khandwa district of Madhya Pradesh. It will build the project with the existing Indira Sagar and Omkareshwar reservoirs of the Indira Sagar Project.

The project is expected to cost $509.21 million and will supply 1,226.93 million units of energy during peak hours, helping Madhya Pradesh to meet energy demand during peak energy hours. The Department of New & Renewable Energy, Government of Madhya Pradesh gave the project to NHDC.

The potential for 11.2 GW of pumped storage projects exists in Madhya Pradesh. NHDC currently operates two power stations in the Khandwa district: Indira Sagar Power Station (1 GW) and Omkareshwar Power Station (520 MW). These power stations supply all the power generated to Madhya Pradesh.

There are other ongoing construction projects in Madhya Pradesh, including an 8 MW solar array in Sanchi and an 88 MW floating solar installation on the Omkareshwar Reservoir.