In order to achieve the estimated 400 GW of renewable energy needed to alleviate energy poverty by 2030 and save a gigaton of CO2, 90 GW of storage capacity must be developed
India, alongside Barbados, Belize, Egypt, Ghana, Kenya, Malawi, Mauritania, Mozambique, Nigeria, and Togo, has pledged its commitment to the Battery Energy Storage Systems (BESS) Consortium, an initiative led by Global Leadership Council (GLC) of the Global Energy Alliance for People and Planet (GEAPP).
This collaboration, endorsed by resource partners such as the African Development Bank (AfDB), World Bank, Asian Development Bank (ADB), and others, aims to secure 5 gigawatts (GW) of BESS commitments by the close of 2024.
The Global Energy Alliance for People and Planet’s Global Leadership Council, formed in 2022, sets a key objective to achieve 5 GW of energy storage commitments by the end of 2024. This initiative focuses on substantially reducing the costs of renewable energy technologies in Low- and Middle-Income Countries (LMICs), enhancing accessibility, and addressing the climate crisis.
This commitment reflects progress towards the larger goal of enabling 400 GW of renewable energy by 2030, aligning with the United Nations Sustainable Development Goal 7 (SDG7) to address energy poverty. At the 2023 United Nations Climate Change Conference (COP28), India officially joined the BESS Consortium, positioning itself as one of the early adopters in the pursuit of sustainable energy solutions.
In a strategic move, the Indian government approved a scheme in September of the current year, dedicated to the development of 4,000 megawatt-hours (MWh) of BESS projects by 2030–31. This scheme provides up to 40 percent financial support in the form of Viability Gap Funding (VGF) to developers, aiming to reduce the costs associated with BESS infrastructure projects and incentivizing public-private partnerships.
Saurabh Kumar, Vice President, India, GEAPP, emphasised the significance of collaborative efforts in achieving a positive energy transition. The expansion of BESS is identified as crucial in addressing the intermittency challenge, reducing costs, and facilitating the integration of renewable energy (RE).
This initiative is anticipated to accelerate regulatory innovations, unlock value streams in batteries, and provide essential support to the grid, consequently boosting the demand for renewable energy.
During The Energy Transition Dialogues (TETD) organised by GEAPP, a comprehensive report titled ‘Powering Progress: Batteries for Discoms: A Market Action Report on Accelerating Battery Energy Storage in India’ was unveiled. The report, a joint effort by GEAPP and RMI, outlines the necessity for approximately 42 GW (208 GWh) of BESS to integrate 392 GW of Variable Renewable Energy (VRE) by 2030.
As part of its expansion plans, GEAPP announced the enhancement of its Battery Energy Storage System (BESS) project in India. The goal is to achieve 1 GW for DISCOMS under BESS by 2026. Notably, IndiGrid, India’s first power sector infrastructure investment trust, secured its first BESS project to develop a 20 MW/40 MWh facility in Delhi.
The BESS Consortium's first-mover countries, including India, will receive support from resource partners such as AfDB, World Bank, ADB, IDB, AFD, GIZ, RMI, Africa 50, Masdar, Infinity Power, COP28 Presidency, AMEA Power, NREL, Net Zero World, and SEforAll. This collaborative effort is crucial in achieving the BESS Consortium's initial goal of securing 5 GW of BESS commitments by the end of 2024 and deploying them by 2027.
Recognising the critical role of Battery Energy Storage Systems in enhancing grid reliability and accommodating variable renewable energy sources, the BESS Consortium aims to transform energy systems across LMICs. The ongoing commitment and support from resource partners position the Consortium on track to meet its ambitious targets and contribute significantly to the global transition to sustainable energy.