The National Government of India’s Ministry of Power issued a National Framework for Promoting Energy Storage in August 2023. Its guidelines for energy storage systems are binding throughout the country, and promote battery storage, as well as pumped storage schemes. This is a significant step forward for the most populous country, with a fast-growing economy.
Generous Support for Nimble Energy Storage Systems
The Indian government shows positive signs of wanting more battery storage systems urgently. These are an essential companion to wind and solar electricity generation, making them essential for decarbonizing utilities. With this in mind the Indian government offers 40% ‘viability gap funding’ for projects commissioning within 18 to 24 months.
The central authority also asks subsidiary governments to allow electricity duty, stamp duty, and land charge exemptions to expedite project deployment. As well as to approve concessional green finance for new energy storage systems, according to Saur Energy International.
That said, the Ministry of Power also includes pumped hydro storage systems in its vision. And that’s important too, because they provide fresh potable water for a booming population. As well as a dependable water supply for agriculture. So all round this sounds like a comprehensive plan.
Rapid Grid Connectivity a Key for Success
The Delhi government clearly understands that renewables are idle until powered-up on the grid. Some utilities may not be keen to move away from fossil fuels they are comfortable with. Therefore the Ministry of Power is at pains to assure that new renewables enjoy priority access to the system.
And finally for now, the Ministry insists that all new non-hydro renewables over 5 megawatts include partial battery storage. Even hydro may not completely escape this. That’s because new projects in this category may need a minimum amount of water capacity behind the weir, according to Saur Energy International.
More Information
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