Here is a summary of the content in 400 words:
India’s energy transition is largely dependent on the deployment of energy storage infrastructure to efficiently integrate renewable energy sources. The country plans to achieve 500 GW of non-fossil-fuel-based capacity by 2030, requiring significant deployment of energy storage systems, including pumped storage projects (PSPs), battery energy storage systems (BESS), and green hydrogen.
The current status of ESS in India is reported, with a total capacity of 4.86 GW, comprising 4.75 GW from PSPs and 0.11 GW from BESS. The National Electricity Plan 2023 projects that by 2031-32, the country will require 73.93 GW/411.4 GWh of storage capacity, with 26.69 GW/175.18 GWh from PSPs and 47.24 GW/236.22 GWh from BESS to accommodate 364 GW of solar and 121 GW of wind energy.
The policy frameworks around ESS are discussed, including the energy storage obligation (ESO) and the advisory notice on co-locating ESS with solar power projects. The ESO will gradually increase from 1 per cent in 2023-24 to 4 per cent by 2029-30, while the advisory notice aims to result in 14 GW/28 GWh of storage by 2030.
The current status, recent policy initiatives, and future outlook for BESS, PSP, and green hydrogen are also discussed. The report highlights the importance of technological advancements, including the evolution of PSPs from traditional fixed-speed PSPs to variable-speed and ternary PSPs, as well as the transition of BESS technology from conventional lithium-ion batteries to vanadium redox flow batteries and other alternatives.
The challenges faced in the energy storage sector, including the lack of a unified regulatory framework, high initial capital costs, supply chain dependencies, and regulatory disparities, are also discussed. Despite these challenges, the future outlook for energy storage in India remains optimistic, with increased policy support, growing investments, and technological advancements expected to drive growth and development in the sector.