Why is it in the news?

• Lakshadweep has inaugurated its inaugural solar project employing Battery Energy Storage System (BESS) Technology.

About Battery Energy Storage System (BESS) Technology

• BESS is a critical technology supporting the efficient storage of energy in renewable systems.
• Different types of Energy Storage Systems include Mechanical, Electrochemical (BESS), Thermal, Electrical, and Fuel Cells.
• BESS utilizes various electrochemical reactions for electricity storage, examples being Lithium-Ion (Li-Ion) and Sodium-Sulphur (Na-S) batteries.
• Two main categories of BESS are traditional solid rechargeable batteries and flow batteries.
• BESS is essential for achieving net-zero emission targets by 2070, aligning with initiatives like Panchamrit.
• It plays a crucial role in improving grid stability during variable renewable generation.

Challenges in BESS Development in India:

• The development of BESS in India is relatively slow compared to countries like China.
• Challenges include low domestic production, inadequate raw material availability (e.g., lithium, cobalt, nickel), a lack of high-quality R&D infrastructure, technology transfer issues, and high installation costs.

India’s Initiatives in BESS:

• The Ministry of Power (MoP) has launched initiatives such as the Scheme for Viability Gap Funding (VGF) for BESS development.
• The scheme envisions 4,000 MWh of BESS projects by 2030-31, providing financial support of up to 40% of the capital cost as VGF.
• The National Framework for Promoting Energy Storage Systems was unveiled in 2023, outlining a comprehensive approach to promoting energy storage systems.