Syllabus: GS3/ Energy and Infrastructure
Context
- According to a report by the Central Electricity Authority (CEA), around 34 gigawatts (GW) or 136 gigawatts per hour (GWh) of battery energy storage systems is expected to be installed in India by 2030.
Background
- India is targeting to have half of its electric power capacity come from renewables by 2030 and energy storage is key in maintaining grid flexibility during surplus and deficit power generation.
- Traditional energy sources offer consistent output, but renewable energy’s variability can cause a 3-5% error in dispatches.
- For India’s planned 500 GW capacity by 2030, a 3% error could cut 15 GW, destabilizing the grid.
Ancillary Services
- In absence of infrastructure that can store electricity in large amounts, it must be produced and used simultaneously.
- Ancillary services provide quick, real-time adjustments to balance supply and demand of power. There are three kinds of ancillary services;
- Primary services respond to fluctuations in real-time (less than a second), making them most relevant in addressing imbalances in renewables-heavy grids. They can only be provided via hydroelectricity, and battery storage (more on that later).
- Secondary services respond to fluctuations within 10-15 minutes. These comprise gas-based capacities.
- Tertiary services take about 20-30 minutes to respond, and comprise thermal power plants, including the coal-fired plants that remain in use in India.
Need for Battery Storage
- Renewables make up roughly 10% of India’s energy portfolio at the moment. As India’s grid becomes more renewables-heavy, deployment of Battery Energy Storage Systems (BESS) is necessary.
- BESS is the fastest in responding to grid contingencies, and can transition from standby to full power in under a second.
- It can provide essential services such as frequency control, voltage regulation, congestion relief, peak shaving, power smoothing, and peak capacity support, making it an invaluable asset in the modern grid.
Challenges
- Raw Material Scarcity: India lacks sufficient reserves of critical materials like lithium, cobalt, and nickel, essential for battery manufacturing.
- Energy Density and Lifespan: Current battery technologies may not meet the energy density requirements for long-term storage or withstand prolonged cycling without significant degradation, impacting overall efficiency.
- Regulatory Hurdles: Lack of clear regulatory frameworks and incentives for BESS deployment slows down its adoption, making it harder to integrate into the existing grid.
Way Ahead
- The government announced a Viability Gap Funding scheme, allocating INR 3,760 crore to develop 4,000 MWh of battery storage systems.
- Partnering with industry leaders and start-ups to co-develop and commercialize advanced energy storage technologies will be key to driving innovation and scaling solutions.
- Also developing efficient and scalable battery recycling facilities will help recover valuable materials and reduce the environmental impact of battery waste, supporting a circular economy.
Source: IE
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