India's cabinet approves $19.4 billion (Rs 1,86,405 crore) green corridor transmission and battery scheme
- Scheme to evacuate up to 135 GW of renewable energy
- Includes 50 GWh of battery energy storage systems
- Central financial support of $5.63 billion (Rs 54,082 crore)
NEW DELHI, Sept 30 — India's Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Green Energy Corridor Phase-III (GEC-III) scheme, the government said on Wednesday, to strengthen intra-state transmission systems and enable evacuation of up to 135 Gigawatt (GW) of renewable energy.
The scheme has a total project outlay of $19.4 billion (Rs 1,86,405 crore) and is targeted to be set up by FY 2032-33, according to the government statement. The outlay comprises $14.2 billion (Rs 1,36,378 crore) for intra-state transmission systems and $5.21 billion (Rs 50,000 crore) for 50 GWh of Battery Energy Storage Systems (BESS).
It involves total Central Financial Support of $5.63 billion (Rs 54,082 crore). The government said this assistance will help offset intra-state transmission charges and keep power costs down.
The battery systems may be deployed at the renewable energy developer or generator end, or at any other location important for grid flexibility. The government said they are meant to address intermittency, congestion and peak-hour curtailment, and to meet demand in non-solar hours.
All greenfield transmission projects will be implemented through Tariff Based Competitive Bidding, while brownfield upgrades and network strengthening will be carried out on a Cost Plus Basis, according to the statement.
State Transmission Utilities will be the overall implementing agency. Transmission Service Providers will take part in the bidding on a Build-Own-Operate-Maintain model.
The government said the scheme will help achieve its target of 900 GW of installed non-fossil capacity by 2035 and will create direct and indirect jobs in the power sector, manufacturing and construction.