Challenges in Absorbing Renewable Energy in India's Grid

India's efforts to expand its renewable energy (RE) sector face significant challenges, particularly in integrating RE into the national grid effectively.

Current RE and Fossil Fuel Dependence

• RE Capacity: Over 40% of installed generation capacity in India is from RE sources such as solar, wind, and hydroelectric.
• Fossil Fuels: Coal-based energy still accounts for 78% of actual power generation.

Grid Management Challenges

• Intermittent Nature of RE: Solar and wind energies are not consistent, peaking at times of low demand and underperforming during peak demand periods, typically in the evening.
• Grid Disruptions: Fluctuations in RE generation can lead to outages, as evidenced by a recent power blackout in Spain and local outages in solar-rich Indian states.

Current Solutions and Measures

• Thermal Power Management: Options being considered include operating thermal power plants in two shifts or at reduced heat rates to quickly adapt to changes in RE supply.
• Regulatory Efforts: The Central Electricity Regulatory Commission is looking into compensatory regulations for thermal power suppliers to manage heat rates.

Need for Energy Storage Infrastructure

• Battery Energy Storage Systems (BESS): Recognized as the most efficient for managing RE supply fluctuations, but India's current BESS capacity is limited to 219 MWh.
• Storage Capacity Requirement: To effectively integrate more solar and wind, India needs 74 GW of energy storage capacity, as advised by the Central Electricity Authority (CEA).
• Policy and Infrastructure Developments: The CEA mandates colocated energy storage with RE projects and future tenders to include two hours of energy storage.

Challenges in Adopting BESS Technology

• Policy Uncertainties: Issues such as high costs related to lithium-ion technology, lack of pricing and capital offset guarantees, and waste management guidelines hamper adoption.
• Comparative Status: Contrasted with China's advanced BESS infrastructure expected to exceed 70 GW, India needs to overcome these challenges to integrate RE into its energy mix.