Roadmap for Answer Writing

1. Introduction

• Briefly introduce Energy Storage Systems (ESS) and their significance in India’s transition towards renewable energy.
• Mention the importance of ESS in supporting intermittent renewable sources like solar and wind, and stabilizing the grid.

2. Benefits of Energy Storage Systems (ESS)

• Smoothing Renewable Energy Generation:
  • Explain how ESS helps store excess renewable energy (from solar or wind) and release it when demand is higher or when generation is low.
  • Example: ESS can store solar energy during the day and discharge it at night.
• Peak Electricity Demand Shaving:
  • ESS helps reduce pressure on the grid by storing energy during off-peak hours and discharging it during peak demand periods.
• Deferring Electricity Infrastructure Investments:
  • ESS can be placed at strategic locations to avoid the need for new substations, transformers, and transmission lines to manage growing electricity demand.
• Reducing Demand Charges for Consumers:
  • Commercial and industrial sectors can install ESS to reduce peak demand, thus lowering their electricity bills.

3. Government Policy Initiatives to Promote ESS

• Legal Status to ESS:
  • Electricity (Amendment) Rules, 2022: ESS have been granted legal recognition as a part of the power system, which allows them to be fully integrated into India’s energy infrastructure.
• Energy Storage Obligation (ESO):
  • Government has set a long-term trajectory to ensure sufficient energy storage capacity in India (around 82 GWh by 2026-27 as per the National Electricity Plan 2023).
• Waiver of Inter-State Transmission System (ISTS) Charges:
  • The government has waived ISTS charges for ESS projects, which lowers costs and incentivizes the deployment of ESS across the country.
• Replacing Diesel Generators (DGs) with ESS:
  • Mandates shifting from diesel-based generators to renewable energy with battery storage as per the Electricity (Amendment) Rules, 2022, to promote cleaner alternatives.

4. Conclusion

• Summarize how ESS benefits India’s renewable energy goals by enhancing grid stability, reducing infrastructure costs, and lowering emissions.
• Mention the role of government policies in creating a conducive environment for ESS adoption, thus aiding the country’s energy transition and energy security.

Relevant Facts to Use

1. Smoothing Renewable Energy Generation:
   • ESS paired with solar and wind plants helps manage intermittency and store surplus energy for later use. This improves grid stability and supports higher renewable penetration.
2. Peak Electricity Demand Shaving:
   • Charging ESS during off-peak hours and discharging during peak demand can reduce electricity prices and stabilize the grid.
3. Deferring Infrastructure Investments:
   • ESS installed in strategic locations can manage local demand, thus reducing the need for new, costly power infrastructure (substations, transmission lines).
4. Legal Status to ESS:
   • ESS is legally recognized as a part of India’s power system through Electricity (Amendment) Rules, 2022, enabling integration into the national grid.
5. Energy Storage Obligation (ESO):
   • The ESO ensures that India meets the projected energy storage requirements of 82 GWh by 2026-27 to support grid reliability and renewable integration.
6. Waiver of ISTS Charges:
   • Waiving ISTS charges for ESS projects incentivizes the use of energy storage, making it more economically viable for investors and project developers.
7. Replacing DG Sets:
   • The shift from diesel generators to renewable energy with ESS helps reduce reliance on fossil fuels, cutting emissions and operational costs for industries.