First solar-plus-battery storage projects in Karur, Tiruvarur soon
The projects, each of 15 MW solar capacity with 45 MWh storage, will come up in Karur and Tiruvarur districts. The projects will be developed on a build-own-operate basis for 25 years.
CHENNAI: Four years after announcing an ambitious plan to establish 20,000 MW of solar capacity and 10,000 MW of battery storage in a decade, Tamil Nadu has cleared its first project combining both technologies.
In its order, the Tamil Nadu Electricity Regulatory Commission (TNERC) has permitted the Tamil Nadu Green Energy Corporation Ltd (TNGECL) to float tenders for two grid-connected solar power projects with battery energy storage systems (BESS).
The projects, each of 15 MW solar capacity with 45 MWh storage, will come up in Karur and Tiruvarur districts. The projects will be developed on a build-own-operate basis for 25 years.
According to TNGECL, the hybrid projects are intended to meet evening peak demand, which cannot be managed through solar alone. Tamil Nadu’s peak power demand is projected to grow from 19,409 MW in 2023-24 to over 27,500 MW by 2029-30. Energy demand is also expected to rise from 1,30,223 million units in 2023-24 to nearly 2,49,580 million units by 2034-35.
At present, the State has over 10,800 MW of solar capacity, but its output is limited to daytime hours, forcing utilities to buy costly power from exchanges to meet peak demand. By shifting solar output into evening hours through battery storage, the new projects are expected to ease this dependence.
The estimated capital cost of the two projects is about Rs 200 crore, as per the detailed project report. The levelised tariff is projected at Rs 6.49 per unit, which compares favourably with exchange prices that peak at up to Rs 10 a unit.
Over the 25-year contract period, the projects are expected to save about Rs 90 crore for Tamil Nadu Power Distribution Corporation Ltd (TNPDCL) compared to purchasing equivalent power from the market.
Land parcels for the projects were identified in Karur’s K. Pitchampatti village and Thiruvarur’s Korukkai village. Once commissioned, the projects are expected to provide assured renewable energy during evening hours, reduce reliance on thermal peaking power, and help Tamil Nadu build expertise in dispatchable green power.
A senior TNGECL official said the projects would act as a “pilot for round-the-clock renewable power in Tamil Nadu” and help the State “develop confidence in integrating storage at scale in the years ahead.”
Highlights
Capacity: 2 solar plants of 15 MW each with 45 MWh storage
Sites: Karur (K Pitchampatti) and Tiruvarur (Korukkai)
Rs 200 crore: Estimated cost
Rs 6.49 per unit: Levelised tariff
Rs 90 crore: Expected savings over 25 years
10,817 MW: Existing solar capacity in TN
Peak demand: 19,409 MW in 2023-24 to 27,541 MW in 2029-30
Energy demand: 1,30,223 MU in 2023-24 to 2,49,580 MU in 2034-35