NEW DELHI: The Nasdaqlisted ReNew Power and Fluence, one of the largest players in the battery storage business, on Thursday announced setting up a 50:50 joint venture to boost energy storage in the country.
“The JV’s first customer will be ReNew for 150MWh BESS at its 300MW Peak Power Project site with SECI,” the companies said. ReNew Power chairman and CEO Sumant Sinha said that in future the pool of projects will be widened, with the market projected to reach 27GW/ 108GWh by 2030, according to India’s Central Electricity Authority. “The storage business will grow substantially as we need to balance it with generation capacity,” Sinha said, adding that a large part of the business will be EPC-type, requiring lower amounts of capital.
He did not disclose the capital that will be earmarked by the two partners, saying that it will depend on the orders that they get.
He said that storage will help meet the requirements due to the imbalance during the day on account of higher generation through solar plants during daytime. Similarly, in case of wind energy, there are seasonal variations and there will be storage requirements for longer duration of a few weeks. “For each, a different battery technology is required,” he said. Founded by AES, a global energy giant, and Siemens in 2018, Fluence has projects in 30 markets around the world, with experience in modular products and sophisticated software, helping it modernise electric grids and accelerate local renewable deployment.
The JV is expected to start operations in the first half of 2022 by providing solutions to ReNew’s MWh BESS required for its 300MW Peak Power Project in Karnataka state. In 2019, Fluence delivered India’s first battery-based energy storage project.