India expands grid to evacuate 135GW of renewables

The scheme also includes 50GWh of battery storage through FY2032-33.

India has approved a scheme to expand intra-state transmission systems and deploy 50 gigawatt-hours (GWh) of battery energy storage systems (BESS) to enable the evacuation of up to 135 gigawatts (GW) of renewable energy.

The Green Energy Corridor Phase-III scheme has a total outlay of INR1,86,405 crore and will facilitate renewable power evacuation across Indian states and union territories, according to the government.

Of the total outlay, INR1,36,378 crore will fund intra-state transmission systems, whilst INR50,000 crore will support 50GWh of BESS.

The scheme will provide INR54,082 crore in central financial support to offset intra-state transmission charges and reduce power costs.

The scheme is targeted for completion by financial year 2032-33 and is expected to address renewable power intermittency, grid congestion, peak-hour curtailment, and non-solar-hour demand.

Greenfield transmission projects will be implemented through tariff-based competitive bidding, whilst brownfield upgrades and network strengthening will follow a cost-plus basis.

India’s State Transmission Utilities will oversee implementation, with transmission service providers participating through a build-own-operate-maintain model.

The scheme is also intended to support India’s target of reaching 900 GW of installed non-fossil capacity by 2035, whilst creating employment across the power, manufacturing, construction, and energy storage sectors.