The global climate change scenario has impacted and taken corrective measures in shifting the sourcing of primary energy and efficient end-use pattern with more focus to utilise renewable energy resources to replace the depleting fossil fuels. Electric power generation capacity in the Indian subcontinent has gradually been improved to substantially contribute to intermittent and variable renewable power generation mix up to 40% of grid demand. However, the injection of grid-integrated renewable power as per the availability of generation potential will necessitate limiting the power generation from generating plants running on fossil fuel. But the operational flexibility of fossil fuel power plants is mostly designed to run efficiently with a 55% minimum technical load on the machines. In the above situation, stable grid availability and operation with a desirable spinning reserve may be taken care of suitably with an on-grid energy storage system, and in the Indian context, a pumped hydro energy storage system may play a critical role to take care of grid operational variability with adequate measures on frequency and voltage correction through periodic power generation and power draw. In this paper, the feasibility of a pumped hydro storage system from an Indian power sector perspective has been reviewed about the present national power scenario.