The global VRFB market, valued at approximately USD 1 billion in 2024, is projected to reach USD 3 billion by 2030, as the global energy transition accelerates and long-duration energy storage (LDES) becomes the backbone of renewable integration and grid resilience. Among emerging technologies, Vanadium Redox Flow Batteries (VRFBs) are gaining global attention for their safety, durability, and recyclability.
India’s vanadium redox flow battery (VRFB) sector is evolving rapidly from pilot installations to early-stage commercialisation, valued at approximately USD 70 million in 2025, the country’s VRFB market is projected to grow at a robust 12% annual rate, driven by the country’s push for long-duration energy storage (LDES) to support the integration of large-scale renewables, according to a report by the Customized Energy Solutions (CES). Customized Energy Solutions is an energy advisory, software, and services company that works closely with clients to navigate the wholesale and retail electricity markets across the United States and globally.
The report further highlights that the global VRFB market potential is expected to grow from 6 GWh in 2025 to 40 GWh by 2030. However, vanadium electrolyte remains a key cost driver as it can make up about 35% of system cost. The path forward lies in stabilizing vanadium supply, adopting circular business models, and adding value locally.
Several regions are leading LDES adoption, driven by policy, energy transition, and grid modernization goals. And, India is emerging as a key market, driven by ambitious renewable targets, rising peak demand, and curtailment issues. Recent government tenders and pilots signal a growing role for LDES in India’s energy future. As the share of RE in global electricity mixes rises, LDES will play a pivotal role in ensuring the scalability, reliability, and resilience of future energy systems. Within the LDES category, VRFBs have emerged as a strong contender, offering 4–12 hours of discharge, scalable beyond 24 hours through flexible tank sizing.
Vinayak Walimbe, Managing Director, CES, “India is at a pivotal moment in its energy transition, and the rapid commercialisation of advanced battery technologies including VRFB technology will be crucial for integrating renewables and ensuring grid reliability. With strong policy backing and local manufacturing momentum, India is poised to become a global leader in long-duration energy storage.”
India is accelerating its transition to advanced energy storage, expanding beyond lithium-based technology through strong policy initiatives, targeted tenders, and the Critical Minerals Strategy 2023. Domestic innovators like Delectrik Systems are manufacturing VRFBs, will be installing 3 MWh VRFB at NTPC-NETRA. Their product range covers C&I, microgrids to grid scale applications, and already exporting to international markets. Singapore-headquartered VFlowTech, with significant R&D and manufacturing investments in India, operates a 100 MWh facility and partners with IIT Delhi for domestic vanadium extraction and a Haryana-based plant. Both Delectrik and VFlowTech have set bold targets to scale up to 1 GWh annual production in the near future—reinforcing India’s ambitions to lead in next-generation battery manufacturing and long-duration energy storage.
India’s challenging climate, marked by high ambient temperatures and a need for safe, long-duration, stationary storage, makes VRFBs an especially attractive solution. While lithium-ion batteries will dominate short-duration and high-power applications, VRFBs are set to capture market share in the 6–10+ hour storage segment thanks to their durability, scalability, and superior thermal stability.
Currently, India imports most of its vanadium from countries like China, South Africa, and Russia. However, new efforts are underway to tap domestic resources, with the Geological Survey of India identifying deposits in Arunachal Pradesh, Odisha, and Karnataka. Collaborations like VFlowTech–IIT Delhi are pioneering vanadium recovery from refinery waste and fly ash. These initiatives, backed by the National Energy Storage Mission, could enable partial localization of vanadium supply by 2030, further reducing costs and strengthening India’s long-duration storage ecosystem.