Renewable energy storage capacity to rise from 1 GW to 6 GW by 2027-28: Crisil
India's renewable energy storage capacity is expected to surge 6 GW by fiscal 2028 from less than 1 GW operational as of March 2024, driven by a robust pipeline of projects under implementation, said Crisil Ratings.
Such an increase is crucial to sustainably absorb the rising share of renewable energy in the country's overall power generation mix.
Despite slow progress on project implementation, the government's push to develop renewable energy power and tariffs for round-the-clock renewable energy, discovered in the last two fiscals, being comparable with other sources of round-the-clock power — improves confidence around adoption, said the rating agency.
Storage is becoming crucial with the rising share of green energy — both solar and wind — in the overall power generation mix. This is because green energy generation by nature is concentrated, happening at specific times in a day.
For instance, solar generation happens largely during the daytime. Such a generation profile does not match with demand that typically peaks in the morning and evening.
Hence, to manage absorption of such a profile of generation, surplus generation must be stored and discharged at the time of requirement to keep the grid balanced, Crisil said.
To address this issue, the government is working on developing the infrastructure needed through standalone storage systems (such as pumped hydro or battery storage systems) and storage-linked projects that combine green energy generation with storage.
The auctions of such storage projects
