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Key Points

NLC India's renewable subsidiary has won a major 500 MWh battery storage project in Tamil Nadu, marking a significant step in India's clean energy push. The project will enhance grid stability while helping integrate more solar and wind power into the system. This aligns with India's COP26 commitments to expand renewable capacity and reduce emissions. The initiative also supports NLC India's strategic vision to become a 10 GW renewable energy player by 2030.

Key Points: NLC India Wins 500 MWh Tamil Nadu Battery Storage Project

  • NLC India Renewables to build 250 MW/500 MWh storage at 3 Tamil Nadu substations
  • Project awarded under VGF scheme via competitive bidding
  • Will help Tamil Nadu DISCOM manage peak demand and renewable integration
  • Advances India's 500 GW non-fossil energy target by 2030
3 min read

NLC India's renewable arm wins 500 MWh battery energy storage project in Tamil Nadu

NLC India's renewable arm secures landmark 500 MWh battery storage project in Tamil Nadu, boosting grid stability and clean energy transition.

"This project positions us at the forefront of energy storage innovation in India – Prasanna Kumar Motupalli, NLC India CMD"

New Delhi, June 22

NLC India Renewables Limited, a wholly owned subsidiary of NLC India Limited -- a Navratna PSU under the Ministry of Coal -- has been awarded a landmark 500 MWh Battery Energy Storage System (BESS) project by Tamil Nadu Green Energy Corporation Limited (TNGECL).

The award comprises the development of three standalone BESS projects with a combined capacity of 250 MW / 500 MWh, to be established at: 400/230/110 kV Ottapidaram Substation; 400/230/110 kV Annpankulam Substation; and 400/230/110 kV Kayathar Substation, all in Tamil Nadu.

According to a company statement, the projects will be executed under the Build-Own-Operate (BOO) model and were awarded through a tariff-based competitive bidding process under the State Component of the Viability Gap Funding (VGF) scheme.

NLC India Limited was the first Central Public Sector Undertaking (CPSU) to commission an 8 MWh Battery Energy Storage System (BESS) at Andaman, integrated with a 20 MW solar power project.

This pioneering initiative has significantly contributed to reducing diesel consumption on the island, enhancing energy reliability, and supporting the region's transition to clean, green power.

Under the current tender agreement, Tamil Nadu Power Distribution Corporation Limited (TNPDCL) will procure energy storage services from NIRL through a long-term Battery Energy Storage Purchase Agreement (BESPA) for 12 years, the company statement added.

This is the first large-scale BESS project to be undertaken by NLCIL and marks a major milestone in India's transition towards clean, dispatchable, and flexible power systems.

It will help Tamil Nadu DISCOM: manage peak power demand efficiently; ensure grid stability and reliability; integrate intermittent renewable energy like solar and wind into the grid; and enable the shift from fossil-dominated systems to clean and responsive energy solutions.

This achievement takes NLCIL a step closer to its strategic vision of achieving 10 GW renewable capacity by 2030.

Prasanna Kumar Motupalli, CMD, NLC India Limited, stated: "This landmark project is a testament to NLCIL's evolution from a lignite-based PSU to a leader in India's clean energy transformation. The award of the 500 MWh BESS from TNGECL positions us at the forefront of energy storage innovation in the country. We remain committed to building a sustainable and flexible power ecosystem that supports India's decarbonisation goals."

India meets a sizable portion of its energy needs through fossil fuels, and various renewable energy sources, are seen as an avenue to reduce dependence on conventional sources of power. Green energy for climate mitigation is not just a focus area for India; it has gained momentum globally.

At COP26 held in 2021, India committed to an ambitious five-part "Panchamrit" pledge. They included reaching 500 GW of non-fossil electricity capacity, generating half of all energy requirements from renewables, and reducing emissions by 1 billion tonnes by 2030.

India as a whole also aims to reduce the emissions intensity of GDP by 45 per cent. Finally, India commits to net-zero emissions by 2070.

- ANI

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Reader Comments

R
Rajesh K.
This is fantastic news! Tamil Nadu leading the way in renewable energy storage. As someone from Chennai, I've seen how power cuts affect daily life. Projects like this will make our grid more reliable while helping the environment. Kudos to NLC India! 🇮🇳
P
Priya M.
While I appreciate the green initiative, I hope the government ensures proper environmental impact assessments are done. Battery storage is great, but we must consider the full lifecycle - from mining materials to disposal. Still, a step in the right direction!
A
Arjun S.
As an engineer working in the energy sector, this is exactly the kind of infrastructure India needs! Storage is the missing link in our renewable energy puzzle. More states should follow TN's example. The 10GW by 2030 target seems achievable with such projects.
S
Sunita R.
Good initiative but implementation is key. Many govt projects face delays and cost overruns. Hope this one stays on track. Also, will local communities benefit from job creation? That would make it a true win-win for Tamil Nadu.
V
Vikram J.
The Andaman project mentioned shows NLC has experience in this domain. That's reassuring. India needs to move fast on energy storage - our solar/wind potential is wasted without proper storage solutions. More such projects across states please! 🔋
M
Meena P.
As a Tamilian, I'm proud to see our state at the forefront of renewable energy innovation. This will help reduce those terrible power cuts during summer months. Hope the benefits reach rural areas too, not just cities. Intha project nalla irukku! (This project is good!)

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