The challenge for India's renewables surge: Storage, Pg10

Key Highlights:

• India faces challenges in matching electricity demand with renewable energy generation due to the intermittent nature of solar and wind power.
• Renewable sources constitute 53% (283 GW) of India's total installed power generation capacity of 532 GW, with solar power contributing over 150 GW.
• India's current installed energy storage capacity includes 0.27 GW of Battery Energy Storage Systems (BESS) and 7.2 GW of Pumped Hydro Storage (PHS).
• The Central Electricity Authority (CEA) projects India's total energy storage capacity to reach 174 GW/888 GWh by 2035-36, including 80 GW/321 GWh of BESS and 94 GW/567 GWh of PHS.
• India heavily relies on imports for battery storage systems, with nearly 75-80% of lithium-ion cells imported, primarily from one Asian country.
• Globally, installed PHS capacity is around 160 GW, led by China (66 GW), Japan (21.8 GW), and the US (18.9 GW), while global battery storage capacity is estimated at around 270 GW.

Detailed Insights:

• The intermittency of renewable energy sources like solar and wind creates a mismatch between electricity generation and demand, potentially straining the grid.
• Energy storage systems, such as PHS and BESS, store excess renewable electricity during high generation periods and release it when demand is high and generation is low.
• PHS uses surplus electricity to pump water to a higher reservoir and releases it through turbines to generate power during peak demand.
• BESS stores electricity chemically, with lithium-ion batteries, especially lithium iron phosphate (LFP) batteries, being the dominant technology due to their cost-effectiveness and efficiency.
• Other energy storage technologies include Concentrating Solar-Thermal Storage Systems, Compressed-Air Energy Storage Systems, Flywheel Energy Storage Systems, and Gravity Energy Storage Systems.
• India's dependence on imported lithium-ion cells for BESS exposes the country to geopolitical risks, trade frictions, and price volatility.
• The CEA emphasizes the increasing importance of storage systems with 4-6 hour durations for integrating larger volumes of renewable energy beyond 2030.
• Globally, battery storage deployment is rapidly increasing, with 108 GW of new capacity added in 2025, a 40% increase from 2024, led by China, the US, and Europe.

Key Concepts Involved:

• Intermittency: The characteristic of renewable energy sources like solar and wind to generate power inconsistently.
• Energy Storage: Systems that capture excess energy and release it when needed, addressing the mismatch between supply and demand.
• Grid Stability: The ability of an electrical grid to maintain a steady voltage and frequency, preventing blackouts and ensuring reliable power supply.