Introduction

India’s energy landscape is undergoing a transformative shift, driven by the twin imperatives of climate action and energy security. With a target of 500 GW of non-fossil fuel-based energy capacity by 2030 and Net Zero by 2070, the integration of renewable energy is central to India’s development model. However, the intermittency of solar and wind power threatens grid reliability. Battery Energy Storage Systems (BESS), with their affordability, scalability, and flexibility, offer a crucial solution to smooth this transition.

Role of BESS in Grid Integration of Renewables

1. Mitigating Intermittency and Enhancing Grid Stability: Renewable energy sources are variable by nature. BESS stores excess power generated during peak periods (like daytime for solar) and releases it during low-generation periods, thereby ensuring uninterrupted supply and peak-load balancing.
2. Improving Renewable Energy Utilisation Rates: According to the International Energy Agency (IEA), India curtails over 3% of its solar and wind energy annually due to lack of storage and transmission constraints. BESS allows surplus energy to be stored and used later, thereby enhancing efficiency.
3. Facilitating Decentralised and Resilient Grids: BESS supports microgrids and decentralised systems, particularly in remote and underserved areas. Projects like Delhi’s Kilokari BESS pilot demonstrate how such systems can provide stable power to low-income urban consumers.

BESS and India’s Energy Security

1. Reducing Dependence on Fossil Fuels and Imports: India imports over 85% of its oil and 50% of its gas. By supporting renewable integration, BESS reduces dependence on volatile fossil fuel markets, thereby strengthening energy sovereignty.
2. Improving Peak Load Management and Avoiding Blackouts: During surges in demand or grid failures, BESS ensures a buffer supply, reducing the risk of widespread outages and enhancing disaster resilience.
3. Leveraging Indigenous Innovation and Manufacturing: The government’s Production Linked Incentive (PLI) schemes and initiatives for battery indigenisation also contribute to Atmanirbhar Bharat by localising BESS manufacturing and reducing reliance on imports.

BESS and Sustainable Economic Development

1. Achieving SDG 7 and Climate Commitments: BESS is integral to SDG 7 (Affordable and Clean Energy). It also supports India’s Nationally Determined Contributions (NDCs) under the Paris Agreement by enabling deep decarbonisation of the power sector.
2. Promoting Green Investments and Job Creation: Platforms like EnerGrid, backed by British and Norwegian climate funds, exemplify how BESS can attract green capital, support new infrastructure, and generate skilled employment.
3. Supporting Industrial and Urban Growth: With growing urbanisation and industrialisation, reliable power is critical. BESS ensures power quality, voltage regulation, and resilience for digital and industrial economies.

Challenges and Way Forward

Despite its promise, BESS faces challenges — high upfront costs, limited access to critical minerals (e.g., lithium, cobalt), regulatory uncertainty, and insufficient grid infrastructure.

Policy Recommendations:

• Viability Gap Funding (VGF) and concessional financing for BESS projects.
• Domestic value chain development through mineral sourcing and battery recycling.
• Regulatory clarity and tariff reforms to incentivise storage adoption.
• Public-private-philanthropic partnerships like GEAPP to scale deployment.

Conclusion

Battery Energy Storage Systems are indispensable for India’s clean energy future. By addressing intermittency, enhancing grid resilience, and supporting climate goals, BESS can accelerate India’s transition to a sustainable, self-reliant, and inclusive energy economy. Timely reforms, innovation, and collaboration will be key to unlocking its full potential.