Central Indian state achieves record low price for solar plus storage power project

A top official from the central Indian state Madhya Pradesh said that it had secured India's lowest price ever for solar power backed up by battery storage at a clean energy bid. This could change how states purchase power.

The official announced on Saturday that CEIGALL India won the tenders for supplying clean energy to Madhya Pradesh, at 2,70 rupees (3 U.S. Cents) per kWh. ACME Solar also won the tenders, but it was only 2.764 rupees/kWh.

Manu Srivastava is a senior official in the state's Power and Renewable Energy Department. He said that the lower cost at which solar energy can be provided using battery storage may set a precedent, showing other states that renewable energy can be cheaper with storage than coal.

Two units are involved in the project, which can each deliver 220 megawatts during sunny hours, using solar panels. In the evenings, batteries that have been charged with solar energy provide power.

The batteries are recharged by cheaper electricity at night from the grid.

Srivastava stated that the state plans to implement longer-duration energy storage projects, and eventually aim to offer renewable power 24 hours a day at prices comparable to coal.

India's renewable energy capacity is growing rapidly. It aims to increase its non-fossil oil capacity to 500 GW in 2030.

The country's energy policy is still dominated by coal power because it provides stable power at night and in the absence of affordable, viable storage projects.

(source: Reuters)