The Indian government has issued an advisory urging the co-location of Energy Storage Systems (ESS) with solar projects. This advisory was issued on February 18, 2025.
The advisory, addressed to Renewable Energy Implementing Agencies (REIAs) and state utilities, highlights the nation’s target of achieving 500 GW of non-fossil fuel capacity by 2030, emphasizing the critical role of ESS in addressing the intermittency of solar and wind energy.
Key Points
Grid Stability Imperative
The advisory acknowledges the challenges posed by the variability of renewable energy sources and stresses the necessity of ESS to ensure grid stability and reliability.
Storage Targets
To integrate the projected 364 GW of solar and 121 GW of wind capacity by 2031-32, India requires 73.93 GW/411.4 GWh of storage capacity, encompassing both Pumped Storage Plants (PSP) and Battery Energy Storage Systems (BESS).
Mandatory Co-location
REIAs and state utilities are advised to incorporate a minimum of 2-hour co-located ESS, equivalent to 10% of the installed solar project capacity, in future solar tenders.
This measure aims to mitigate intermittency issues and provide crucial support during peak demand periods.
Rooftop Solar Integration
Distribution licensees are encouraged to mandate 2-hour storage with rooftop solar plants to improve supply reliability at the consumer end and alleviate over-injection during solar hours.
Potential Storage Capacity
Implementing the proposed storage clause could lead to the installation of approximately 14 GW/28 GWh of storage by 2030.
Operational Flexibility
The storage system can be operated in single-cycle mode (charged by solar, discharged in the evening) or double-cycle mode (charged by solar and grid, discharged during peak hours).
Economic and Grid Benefits
Integration of ESS with solar projects will enhance grid stability, improve transmission line utilization, reduce transmission costs, enhance energy security, and improve overall renewable energy system efficiency.
You may also be interested in:
Draft Tariff Based Competitive Bidding Guidelines For Pumped Storage Plants
