Grid-Scale Energy Storage Needs the Use of the New PLI Programme

R.K. Singh, the Union Minister for Power and New & Renewable Energy, suggested launching a production-linked incentive (PLI) programme for grid-scale storage in order to increase capacity and promote continuous investments. Grid-scale energy storage devices are essential for supplying renewable energy continuously to meet the rising demand for energy. The PLI programme would encourage more commercial organisations to take part in creating such projects on a huge scale since only public sector organisations like NTPC and Solar Corporation of India (SECI) have so far issued tenders for grid-scale battery storage projects.

The minister mentioned the potential for supply chain diversification using technologies like sodium-ion batteries during his speech at the Energy Leadership Summit & Awards event in New Delhi. He forecast that in the coming years, about 100 GW of battery storage capacity will be developed, with about 50 GW being made available for export.

India is aiming to ensure that more energy storage projects are deployed to control the system load and supply RTC electricity as the amount of renewable energy generation supplied to the grid increases. As part of the renewable power purchase responsibilities for all distribution entities in this direction through the fiscal year 2029–30, the government also released energy storage obligations.

By 2029–2030, India's installed base energy storage capacity is anticipated to increase to 27 GW of battery storage (four hours) and 10 GW (six to eight hours) of pump storage system. According to Singh, the government has a plan in place to promote pumped hydropower projects as a workable solution. The administration has acknowledged the challenge faced by the high costs associated with storing renewable energy.

In order to promote the uninterrupted supply of renewable energy, the minister emphasised the growing relevance of large-scale pumped hydro projects and the need for grid-scale batteries. The administration unveiled various plans last month to hasten the activation of pumped storage projects across the nation. Singh stated the need for constant power in light of the increasing demand for energy.