Energy Storage policy to complement green push by companies like Adani, Siemens and ReNew Power
Building on the gains achieved by pioneers like Tata, Adani, Siemens and ReNew Power, the proposed Energy Storage policy will enhance India’s energy transition
The Indian government is mulling over a new ‘Energy Storage’ policy to complement the country’s green energy push. The policy will dictate the large-scale integration of green power with the country’s power grid. The presence of an efficient power storage facility will give India access to a stable power grid when it comes to renewable energy. Given the intermittency of clean energy sources like wind and solar, large storage facilities will come in handy to meet power quotas on off days.
India has already crossed 100GW of installed renewables capacity, thanks to the efforts of companies like ReNew Power, Tata, Adani, Siemens and Suzlon.
The set target was 175GW by 2022 and with another 63GW currently under construction, the number is very much achievable. On the back of this, the government has gone ahead and planned the next set of target to reach 450GW by 2030. This would mean a huge influx of power from alternative sources, necessitating the need for a storage mechanism.
The stage is set for India to take the role of a global trend-setter when it comes to renewables. Non-conventional power generation capacity in the country is presently over 153GW and represents more than 39 per cent of the total installed power generation capacity. With the aforementioned 63GW under construction and another 29GW worth of projects under bid, this will bring the number up to 245GW. 450GW does not seem too far away now.
Renewable companies in India have been a major force to reckon with. The transformation of the sector has been brought about through large-scale investments by front-runners like ReNew Power, Adani and Siemens. The entry of new players, the most prominent being Reliance Industries Limited (RIL), is a welcome addition. RIL announced its plans to invest $10 billion in green energy over the next three years and went on to acquire Norwegian company, REC solar Holdings, for $771 million and another 40 per cent stake in Sterling & Wilson Solar for $370 million.
Another important player in this field is the Adani Group.
The ports-to-power conglomerate has already expressed its vision of becoming the largest renewables company in the world by 2030. To this end, the company will invest another $20 billion over the next decade, with a focus on green hydrogen production. The renewables arm of the Group completed India’s largest renewable energy acquisition – taking over 5GW of solar and wind assets from SB Energy Holdings Ltd. for $3.5 billion. The company’s current portfolio stands at 15,390MW of renewable projects spread across 87 locations in 11 states.
India has already set the ball rolling with plans to set up a 14GWh grid-scale battery storage system at Khavda, Gujarat, which is the world’s largest renewables park. A proposal to set up another 13GWh storage system in Ladakh through a bidding process is also in the making. This development is an absolute win in the aftermath of the pandemic. After a year-long temporary halt in all activities across the board, the resurgence of the economy bodes well for the sector as firms like Adani, Siemens, ReNew Power and others pick up the pace again. India’s ‘Energy Storage’ policy plan, if and when it comes out, will herald a new phase in India’s energy transition.