The Central Electricity Authority (CEA), an India-based regulatory body, has proposed mandating at least 10% co-located energy storage with a minimum two-hour duration for new solar and wind projects commissioned from July 2027. The draft amendment to the CEA's technical standards regulations seeks comments by October 4, aiming to improve power dispatchability and utility revenues despite increased capital expenditure for developers.
Snapshot
Company: Central Electricity Authority (CEA)
Role: Regulatory body proposing technical standards amendment
Scope: Solar and wind projects commissioned from July 2027 onwards
Requirement: Minimum 10% of installed capacity must be co-located energy storage
Duration: Storage duration must be at least two hours
Timeline for compliance: Projects commissioned from July 1, 2029 to June 30, 2031 face raised storage duration requirements
Comment deadline: October 4
Central Electricity Authority (CEA), an India-based regulatory body, has proposed a draft amendment to its technical standards regulations that would make co-located energy storage mandatory for new PV and wind projects commissioned from July 2027 onwards. The proposal requires these renewable plants to install storage systems with a capacity of at least 10% of the installed generation capacity and a minimum duration of two hours.
The CEA has stated that this move aims to bring the needs of utilities and industries to the front by adding storage to renewable energy projects for ensuring firm and continuous power. Sujoy Ghosh, vice president and country managing director- India at First Solar, has told ET that while the capital expenditure for a renewable energy developer will go up, the project itself should help in predictable dispatch of power which could overall improve the revenues from the project.
The draft amendment to the Central Electricity Authority (Technical Standards for Construction of Electric Plants and Electric Lines) Regulations seeks comments by October 4. CEA had previously issued an advisory on colocation of energy storage with solar power projects last year, with similar recommendations to improve dispatchability of solar power. The proposed amendments however make it mandatory under the regulations.
Most power utilities, C&I users and renewable energy developers have already been tendering and building green energy projects with storage to enable more reliable electricity. The proposed rules also raised the storage duration requirement for projects commissioned from July 1, 2029 to June 30, 2031.