Power Secretary Calls for Faster Renewable Energy Shift to Strengthen Energy Security

New Delhi, Sep 24 (KNN) India needs to reduce its dependence on oil and gas and accelerate the shift towards renewable energy as energy security gains importance amid changing global conditions, Pankaj Agarwal, Secretary, Ministry of Power, said.

Speaking at the FICCI Indian Power Sector Conference on “Building A Reliable, Flexible And Market-Ready” power system, Agarwal said recent developments around the Strait of Hormuz had reinforced the need to reduce dependence on oil and gas wherever possible, ANI reported.

“Today's outlook after Hormuz, we have to accept that we need to move away from oil and gas wherever we can. There is a limit to it. Sun, wind, biomass, maybe nuclear and coal. So, whether we like it or not, renewable energy is a reality and is a key to our energy security,” he said.

Agarwal said the increasing share of renewable energy would require greater flexibility on both the supply and demand sides of the power system. He noted that battery storage costs had declined from around Rs 10 per unit in 2023 to Rs 4 per unit currently.

India is also working on a roadmap for 100 GW of nuclear capacity by 2047, while around 16,000 MW of pumped storage projects are under implementation. Agarwal identified the geographical concentration of solar and wind capacity in states such as Rajasthan and Gujarat as a challenge for grid stability.

He said measures including energy storage, transmission expansion, time-of-day tariffs and market-based mechanisms were being considered to manage fluctuations in renewable generation. 

The upcoming National Electricity Policy is also expected to include flexibility mandates for large consumers such as data centres and green hydrogen projects.

Agarwal also highlighted investment opportunities in battery and pumped storage projects and said India should develop domestic manufacturing of power electronics and other grid-related technologies, with a focus on “design in India” products.

(KNN Bureau)