India's Energy Storage Revolution: Powering Clean Energy Growth and Green Hydrogen Development
Key Ideas
  • India plans to add 73.7 GW of energy storage capacity by 2032, with a focus on Battery Energy Storage Systems (47 GW) and Pumped Storage Projects (26.7 GW) to support clean energy goals and ensure grid stability.
  • The government is incentivizing energy storage through policies like the Production Linked Incentive scheme, with Rs 18,000 crore already approved for advanced chemistry cell battery manufacturing.
  • The cost of energy storage has significantly decreased in recent years, making it more accessible for investments and contributing to the growth of renewable energy sources like solar and wind power.
  • India's National Green Hydrogen Mission aims to produce 10 million metric tonnes of green hydrogen and build 60–100 GW of electrolyser capacity by 2030, reducing reliance on fossil fuels in various industries.
India is gearing up for a significant expansion in its energy storage capacity to support the growing demand for electricity and ensure a reliable clean energy supply. Union Power Minister Manohar Lal Khattar emphasized the importance of energy storage in integrating more solar and wind power into the grid, stating that the country needs to scale up both Battery Energy Storage Systems (BESS) and Pumped Storage Projects (PSP). With over half of India's total installed power generation capacity coming from non-fossil fuel sources, the need for large-scale storage systems to balance variable renewable energy generation is crucial. To encourage energy storage development, the government is providing policy incentives such as the Production Linked Incentive (PLI) scheme for battery manufacturing. Minister Khattar highlighted the decreasing cost of energy storage, making it more affordable for investments and contributing to the achievement of clean energy targets. Additionally, the government has approved a substantial amount under the PLI scheme for advanced chemistry cell battery manufacturing. Furthermore, India's focus on green hydrogen is evident through the National Green Hydrogen Mission, aimed at producing green hydrogen and building electrolyser capacity. This initiative aligns with the goal of reducing fossil fuel usage in industries like steel, cement, and transport. Minister Khattar emphasized the importance of private sector investment in battery production, mineral processing, research and development, and workforce development to advance the clean energy transition. India's commitment to energy storage and green hydrogen reflects its ambition to lead the global effort towards sustainable and renewable energy sources. By leveraging policies, incentives, and decreased costs, India is poised to accelerate its clean energy growth and contribute significantly to the global green economy.
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