India Mandates Energy Storage for State Utilities
India is set to require state-run electricity utilities to incorporate energy storage systems to better manage its growing clean energy capacity, according to a senior official from the Indian Power Ministry. This move aims to reduce wastage of renewable power and address grid challenges.
New Regulation to Boost Energy Storage Capacity
Pankaj Agarwal, secretary of the Indian Power Ministry, announced at the Bharat Renewable Energy Summit that state utilities will soon be mandated to add storage capacity alongside renewable energy generation. Starting in July 2027, solar and wind power project developers will be required to deploy battery storage at project sites to mitigate curtailments and enhance grid flexibility.
This policy responds to significant challenges faced by India’s power grid. September data from JMK Research & Analytics showed that as much as 118.6 gigawatts (GW) of solar and wind power was curtailed due to storage and grid constraints, demand-supply mismatches, and seasonal overlaps where high renewable output coincides with moderate demand. The curtailments were notably high during July and August despite record renewable power generation, indicating inefficiencies in utilizing the available green energy.
Government Funding for Large-Scale Storage Projects
The Indian government recently approved a $1.54 billion program valued at 145 billion Indian rupees to support the deployment of 92 gigawatt-hours (GWh) of grid-scale energy storage solutions. This Viability Gap Funding (VGF) Scheme targets a mix of technologies, including 30 GWh in battery energy storage systems, 60 GWh in pumped storage projects, and 2 GWh in emerging storage technologies. The funding is intended to improve project viability and accelerate infrastructure build-out.
What This Means for Pakistan and the Region
India’s initiative to strengthen energy storage infrastructure highlights a regional push towards optimizing renewable energy integration. For Pakistan, which shares similar challenges in managing grid flexibility and renewable intermittency, developments in India’s policies could provide valuable insights. Enhancing energy storage capacity can help minimize energy wastage and ensure a more reliable power supply, vital for meeting growing electricity demand and stabilizing grids reliant on renewables.
As global attention intensifies on renewable energy expansions, Pakistan’s energy sector observers will be watching the impact of India’s storage mandates on grid stability and renewable adoption. Adopting similar measures could help Pakistan avoid renewable curtailment issues and support its clean energy goals.
Pankaj Agarwal emphasized, “The government’s support will accelerate deployment of large-scale energy storage infrastructure and improve project viability.” This reflects a broader trend among South Asian countries aiming to balance ambitious clean energy targets with grid operational realities.
