India's Energy Evolution Guided by the Influence of BESSEmergence of BESS as Key Player in India's Energy Reform
Article Title: India's Renewable Energy Transition: The Crucial Role of Battery Energy Storage Systems
Battery Energy Storage Systems (BESS) are set to play a crucial role in India's renewable energy plans and achieving its net-zero carbon emissions target by 2070. By enabling consistent, reliable, and flexible deployment of solar and wind power, BESS store excess renewable energy generated during peak production times and release it when demand is high or when renewable generation is low, addressing the intermittency and variability of renewables and improving grid stability.
Integration with Solar Power
India is shifting from standalone solar power to solar-plus-storage models, where large solar parks paired with BESS provide dependable and economically viable green energy beyond daylight hours. This reduces reliance on fossil fuels, supports energy reliability, and aligns with corporate sustainability goals.
Government Support and Targets
The Indian government aims to reach a total of 500 GW renewable energy by 2030, including targeting 74 GW of BESS capacity by 2031-32. Recent government allocations include INR 5,400 crore (~$625 million) for 30 GWh BESS development and viability gap funding schemes to incentivize 4,000 MWh BESS projects by 2030-31 to reduce costs and promote wide adoption.
Grid Stability and Peak Demand Management
BESS helps to maintain grid stability by storing renewable power when supply exceeds demand and discharging it during peak demand or low generation periods. This smoothing effect is vital for incorporating large shares of variable wind and solar energy into the grid while reducing carbon emissions from reserve fossil fuel plants.
Industrial and Commercial Usage
Industrial clusters and corporate campuses increasingly deploy solar-plus-BESS systems to ensure continuous green power supply, avoid costly power outages, and reduce peak power costs, supporting India’s overall decarbonization efforts.
Challenges and Dependence
Despite fast solar growth, BESS rollout faces challenges including high costs, policy uncertainties, limited domestic battery technology development, and reliance on foreign components. Efforts continue to build indigenous battery tech and scale BESS installations critical for a carbon-neutral future.
Upcoming Projects and Initiatives
The Viability Gap Funding (VGF) Scheme will subsidize 4 GWh of BESS with guidelines set for 15 March 2024. The Rajnandgaon, Chhattisgarh project will be a 40 MW / 120 MWh SECI-World Bank solar-plus-BESS, scheduled for inauguration in February 2024. The National Electricity Plan-2023 earmarks 47 GW / 236 GWh of utility Battery Energy Storage System (BESS) by 2032 to firm solar-wind output.
Technology and Environmental Concerns
Technology lock-in and recycling are concerns, as there are no producer-responsibility norms, and end-of-life Li-ion waste may reach 1.5 lakh t by 2035. Addressing these issues will be crucial for a sustainable and responsible transition to renewable energy.
In summary, BESS are an essential enabler for India’s clean energy transition, allowing the large-scale, reliable use of renewables necessary to meet the 2070 net-zero carbon emissions target by solving renewable intermittency, stabilizing the grid, and supporting clean, cost-effective power supply.
- The strategy for India's renewable energy industry involves transitioning from standalone solar power to solar-plus-storage models, which mains a dependable and economically viable green energy supply beyond daylight hours.
- The Indian government, with the aim to reach a total of 500 GW renewable energy by 2030, has allocated INR 5,400 crore (~$625 million) to develop 30 GWh BESS, supporting the creation of 74 GW BESS capacity by 2031-32.
- By helping maintain grid stability, battery energy storage systems (BESS) are instrumental in addressing the intermittency and variability of renewables and improving overall energy supply, thus supporting India's business and finance sectors.
- The growing usage of solar-plus-BESS systems in industrial clusters and corporate campuses is intended to ensure continuous green power supply, reduce peak power costs, and lower carbon emissions.
- Technology advancements in renewable energy, especially in battery energy storage systems, are essential to address environmental concerns related to technology lock-in, recycling, and end-of-life Li-ion waste management, ensuring a sustainable and responsible transition to a carbon-neutral future.
