What's Happening?
The Energy and Resources Institute (TERI) has conducted an analysis comparing the cost of solar power with storage to new thermal power plants, revealing that solar-plus-storage is now the more affordable option for round-the-clock electricity supply.
The study focused on the seasonal peak demand day of BSES Rajdhani Power Limited (BRPL), analyzing the per-unit cost for meeting the demand using solar power combined with storage technologies such as Battery Energy Storage Systems (BESS) and Pumped Storage Plants (PSP). The findings showed that solar power coupled with storage is cheaper than new thermal generation, with costs ranging from ₹3.9 to ₹4.9 per kWh for solar-plus-storage compared to ₹5.4 to ₹5.8 per kWh for new thermal power plants. The results were discussed at a presentation session at TERI, highlighting the potential for solar-plus-storage systems to provide a cleaner, reliable supply.
Why It's Important?
This analysis is significant as it underscores the economic viability of renewable energy solutions over traditional thermal power generation, particularly in the context of India's energy landscape. The findings suggest that solar-plus-storage systems can offer a more cost-effective and sustainable option for electricity supply, which is crucial for India's goal of achieving a 24/7 green power future. The reduction in solar tariffs by over 90% in the past decade further supports the expansion of affordable storage solutions, potentially leading to increased adoption of renewable energy technologies. This shift could have broad implications for energy policy, reducing reliance on fossil fuels, and promoting environmental sustainability.
What's Next?
The study's conclusions may prompt further investment and development in solar-plus-storage technologies, encouraging policymakers and energy providers to consider these systems as viable alternatives to thermal power. As India continues to pursue its renewable energy targets, the expansion of solar-plus-storage solutions could play a pivotal role in meeting the country's growing energy demands sustainably. Stakeholders in the energy sector may explore opportunities to integrate these technologies into existing infrastructure, potentially leading to advancements in energy storage capabilities and further reductions in costs.
Beyond the Headlines
The shift towards solar-plus-storage systems could have deeper implications for India's energy sector, including potential changes in regulatory frameworks and incentives to support renewable energy adoption. The transition may also influence global energy markets, as other countries observe India's approach to integrating solar and storage technologies. Additionally, the environmental benefits of reducing reliance on thermal power could contribute to global efforts to combat climate change, positioning India as a leader in sustainable energy practices.
