The recently announced Viability Gap Funding (VGF) for Battery Energy Storage Systems (BESS) has been welcomed by industry stakeholders for its potential impact on system cost, demand, and manufacturing in the country. In September 2023, the Union Cabinet approved the VGF program, allocating an initial sum of ₹94 billion ($1.1 billion), with ₹37.6 billion ($452 million) designated as budgetary assistance to facilitate 4 GWh of BESS projects by 2030-31.