In a significant move to address the growing energy demands and intermittency challenges in the state, Rajasthan Urja Vikas Nigam Limited (RUVNL) has filed a petition under section 80 (1) (b) of the Electricity Act 2003. The petition seeks approval for the selection of developers and procurement of bidding documents for an Inter-State Transmission System (ISTS) connected energy storage solution with a capacity of 1000 MW/6000 MWh. The proposal aims to meet the requirements of distribution licensees, namely Jaipur Vidyut Vitran Nigam Limited, Ajmer Vidyut Vitran Nigam Limited, and Jodhpur Vidyut Vitran Nigam Limited. The last date for comments submission is 18th December 2023.
The key focus of the petition is on tying up a substantial 1000 MW/6000 MWh per day of pump storage-based energy storage solution on a long-term basis, connected to the Central Transmission Utility (CTU). This initiative aligns with the state’s commitment, as of October 6, 2022, to procure power through tariff-based competitive bidding processes, specifically from 1500 MW wind-solar hybrid projects with integrated storage systems. This strategy allows for flexibility in scheduling energy from storage to meet the state’s demand and Renewable Purchase Obligations (RPO).
Recognizing the imperative to manage the intermittency of renewable energy (RE) injected into the grid and ensure grid stability, the Ministry of Power issued guidelines on April 10, 2023, promoting Pumped Storage Power (PSP) based storage capacity nationwide. These guidelines emphasize the importance of adding energy storage solutions like Battery Energy Storage Systems (BESS) and Pumped Storage Projects (PSP) to the energy mix.
The petition underscores the limitations of structured RE power projects with mandatory Energy Storage Systems (ESS). Such projects often restrict utilities from fully harnessing the potential of an ESS system, as they are bound to supply power only during predefined peak hours and remain fixed for the entire Power Purchase Agreement (PPA) term.
To mitigate these demerits, RUVNL proposes a unique approach of tying up RE and ESS capacities separately. This approach offers several advantages, including specialized participation from agencies with expertise in ESS setup. Standalone ESS provides the flexibility to manage peak demand, seasonal variations, and enables real-time charging options, including a combination of RE and non-RE power sources.
In response to the deficit of energy during peak hours identified by the Energy Assessment Committee of the state of Rajasthan, RUVNL, in its 57th meeting on August 17, 2023, resolved to initiate a separate tender process for tying up 1,000 MW ESS from pump storage hydro projects. This initiative aims to address the deficit and enhance flexibility in scheduling as per the state’s energy requirements.
Considering the absence of standard bidding guidelines and documents for tie-up of storage capacity from PSP, RUVNL has formulated a comprehensive bidding document. This document adheres to the principles of the Electricity Act 2003, ensuring maximum participation and procurement at the least tariff to meet the peak-hour demand deficit in the interest of consumers in the state.
In conclusion, this forward-thinking initiative by RUVNL demonstrates a commitment to addressing energy challenges, leveraging innovative storage solutions, and ensuring a sustainable and reliable energy supply for the people of Rajasthan. The petition awaits approval, anticipating a positive step towards a resilient and adaptable energy future for the state.
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