SECI Plans to Launch the Milestone Tender for 500 MW Solar Thermal Power Storage Project by Year’s End

In a groundbreaking move, the Solar Energy Corporation of India (SECI) is set to initiate a tender for a concentrated solar thermal power storage project with a capacity of 500 megawatts (MW) by the end of the current financial year. R P Gupta, Chairman and Managing Director of SECI, announced this strategic step amidst the government’s heightened emphasis on bolstering the nation’s energy storage capabilities to mitigate the intermittency challenges posed by renewable energy sources.

Gupta highlighted that the tender aims to harness concentrated solar technology, where steam generated through heat will drive turbines, ensuring a round-the-clock energy supply. This initiative aligns with efforts to stabilize the grid and optimize the utilization of renewable energy. Gupta acknowledged that initial incentives might be necessary to kickstart these projects, emphasizing that competitive bidding should bring down prices, making them comparable to other 24/7 energy storage solutions.

The move underscores India’s broader commitment to energy security and sustainability. Recently, the government unveiled a scheme offering viability gap funding for battery energy storage systems (BESS) to develop 4,000 megawatt-hours (MWh) capacity by 2030-31. This, alongside initiatives promoting pump storage projects (PSPs) with lower levelized costs compared to BESS, signals a multifaceted approach to enhancing grid stability and reliability.

Jishnu Barua, Chairperson of the Central Electricity Regulatory Commission, expressed optimism about the declining costs of energy storage systems, attributing it to technological advancements and increasing market competition. As India advances towards stabilizing its electric grid and enhancing renewable energy integration, stakeholders anticipate significant developments in energy storage technologies and pricing dynamics.

Overall, SECI’s upcoming tender marks a pivotal step towards realizing India’s ambitions in sustainable energy infrastructure and grid resilience.