Benefits of Energy Storage Integration with Solar PV in India

India with abundant sunshine and a unique confluence of supply and demand situation is an ideal location to develop solar energy. In most parts of India, clear sunny weather is experienced 250 to 300 days a year. The equivalent energy potential is about 5,000 trillion kWh per year. With an aim to harness the huge solar energy potential in India, Ministry of New and Renewable Energy (MNRE) launched Jawaharlal Nehru National Solar Mission (JNNSM). Since its launch JNNSM along with respective state solar policies have been the key drivers for the growth of Indian solar industry.   

India is amongst top 15 nations around the world in terms of installed solar capacity which is around 1.5 GW. However, the fundamental drawback of solar energy is its intermittent nature. Solar power is available only for 6-8 hours during the day. Also, conditions like cloud covers and other weather related events can create significant fluctuations in solar power.  Reliance on solar, can thus affect grid stability and hence can put limits on the development of solar energy.

Integrating Energy Storage System (ESS) with solar PV can make solar power dispatch able, reduce stress on the grid and optimize overall system resources.  In addition, ESS can play an important role in optimally sizing the solar PV systems for off-grid usage. Realizing the importance of ESS integrated with solar PV, India Energy Storage Alliance (IESA) is releasing the “Applications of Energy Storage for Solar PV in India” report as part of its ongoing series of reports about various applications of ESS in India. The objective of this report is to provide key applications of ESS for solar PV integration in India. Some of the key applications of ESS for solar PV integration analyzed in this report are:

  • Potential replacement/ reduction of diesel generators (DG) for backup power
  • Peak shaving and load shifting
  • Managing grid power quality
  • Development of microgrids
  • Demand response (DR) applications

 Most parts of India suffer from significant power shortages. Since most of the commercial and industrial (C & I) customers rely on the DG backup for meeting electricity requirements during frequent power outages, energy arbitrage opportunity exists for solar PV integrated with ESS.  Due to power scarcity during peak demand periods most utilities in India resort to load shedding to manage the demand.

All India - peak supply - demand gap (GW)

Solar PV integrated with ESS can be used to supply the peak load above the base load, in such a way that when solar energy is unavailable ESS can be used to supply the peak load. This can lead to reduction in demand charges for the customer. In the case of utilities it can be used for better load management without resorting to load shedding. In addition to outage protection big industrial customers in India are looking at solar PV with ESS to solve power quality problems such as harmonics distortion, stabilize electrical power frequency, etc for sensitive equipment. ESS technologies integrated with solar PV can smooth the output, reduce the intermittency and help in maintaining grid stability.

India has nearly 54,000 un-electrified villages, representing over 300 million people. Microgrids could supply a small area with electricity from distributed sources—such as battery storage combined with solar PV. One of the possible solutions for the historical blackouts that happened in India during July 2012 could be developing solar PV based micro-grids integrated with ESS for consumers such as hospitals, factories, etc to generate their own power and help reduce a portion power use resulting in cut down on peak overloads. Adding solar PV to a mix of generation, DR and ESS could make those systems self-supporting.

This report includes two case studies based on solar PV integrated with ESS. Trojan Battery case study illustrates the integration of solar PV with ESS for a resort in Kerala resulting in financial benefits, energy independence and environmental benefits. HBL Power Systems case study shows off gird application of solar PV with ESS to meet electricity needs of petrol pumps situated on remote locations on highways and rural/semi urban locations.


HBL Power Systems solar PV - battery solution for petrol pumps. Source: HBL.

Based on results from the case studies and analysis, IESA estimates a market potential of around [311] MW for a low growth case and a market potential of around [727] MW for a high growth case through 2020 as shown in the figure below:

Estimated ESS potential for High and Low growth cases from 2013-2020.

About IESA

India Energy Storage Alliance (IESA) was launched in 2012 to promote energy storage technologies and applications in India by creating awareness among various stakeholders to make the Indian industry and power sector more competitive and efficient. IESA is working towards providing insights to technology developers and system integrators on the policy landscape and business opportunities in India through interactions with key stakeholders. IESA – KPN (Knowledge Partner Network) is one of the sought steps, which was appreciated by various industries. For more about IESA, visit at

IESA is conducting a Webinar on ‘ESS integration with Solar PV - India Perspective’ on 28th October 2013. To know more details about the webinar and registration visit

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