The Union power ministry is likely to float tenders for sourcing 4,000 MW of battery-based energy storage capacity.
According to a reliable media report, Union power minister R.K. Singh indicated this at a recent virtual conference, organized by Confederation of Indian Industry (CII).
Singh said that the power ministry intends to come out with bids for 4,000 MW of storage as a back-up energy source. This capacity will be spread equally at the four regional load dispatch centres (RLDC). This energy storage will provide instant intervention whenever there is sharp fluctuation in the grid, which can be possibly caused by increased injection of renewable energy into the grid.
Some portion of this capacity will work as a grid-balancing measure while the remaining could be made available to developers on a commercial basis, it is learnt.
Power generators or even discoms can “park” surplus energy in the storage system and draw it out during peak loads. For instance, times of heavy winds or intense solar irradiation could generate surplus renewable energy that can be “saved” in the battery-based energy storage system.
An industry expert pointed out that this system would work like pumped hydropower schemes where water is pumped on an elevated water reservoir. This pumping happens during the night when the electricity demand as well as tariff is low. This pumped water is released during the day to generate hydropower when demand is high. The main advantage of battery-based energy storage systems is that these batteries could be charged using renewable energy, which is relatively cheaper.
Also read: Cabinet Approves PLI Scheme For Advanced Battery Storage
PLI Scheme
The infrastructure of this proposed energy storage system will through the newly-launched Production Linked Incentive (PLI) scheme. Under this scheme, domestic manufacturers will be encourage to provide indigenously technology. The minister asserted that India does not want to source technology from outside countries.
Dwelling on the PLI scheme, Singh said after the PLI mechanism was announced, expressions of interest for large quantities of manufacturing of modules, cells and polysilicon have been received. Proposals have come from Central PSU Coal India Ltd, in partnership with one firm, and from Reliance Industries.
Featured photograph, courtesy Fluence, is for illustration only