State-owned Convergence Energy Services Limited (CESL) has signed a Memorandum of Understanding (MoU) with BSES, Delhi.
By entering into this MoU, the utility agrees to assume leadership positions to join a pilot engagement with CESL as the company works to design energy transition solutions.
Specifically, the utility agrees to undertake feasibility studies and cost-benefit analyses for distributed solar projects operated with battery energy storage.
The MoU was signed in the presence of Aniruddha Kumar, Additional Secretary, Ministry of New and Renewable Energy (MNRE), Saurabh Kumar, Executive Vice Chairperson, EESL Group and Mahua Acharya, MD & CEO, CESL.
The MoU with BSES is to explore pioneering business models for battery energy storage, as the utility rapidly expands its renewable energy portfolio and decarbonizes the grid. This has created the need for grid balancing, maintaining of reserves, availability of ramping support when the sun goes in the evenings and the creation of a virtual distribution network.
The MoU sets up a method for BSES and CESL to design commercial cases, work with regulators where needed and support BSES smoothly reaches its decarbonization goals.
Sharing her views on the partnership, Mahua Acharya, MD & CEO, CESL said, “Central to India’s energy transition is battery energy storage and its applications. This is the time to design the revenue models that India needs, work with regulators and DISCOMS alike to develop the frameworks and with technology companies on the many applications possible. CESL envisages playing the role of a market-making entity for battery energy storage systems.”
CATCH: Interview: Mahua Acharya, MD & CEO, Convergence Energy Services Ltd.
Sharing their views on the partnership, a Spokesperson from the Reliance Infrastructure led BSES said “BSES is committed to energy efficiency, adoption of green technology and smart procurement initiatives that will result in optimised solutions for us and our consumers. We are pleased to be joining hands with CESL on this important energy transition program. This association brings together two leaders in their respective domains and the resulting synergies are expected to benefit our consumers in a meaningful way, as also provide us insights to deal with emerging challenges and set a role model for rest of the country”.
The BSES team is led by Amal Sinha, Director and Group CEO, BSES.
Focus will be on designing those projects with the highest decarbonization potential. CESL is currently designing this program and hope to launch it in the next few weeks. The pilot projects will scale up by replicating the model with other DISCOMs to accelerate decarbonisation of the power sector.
In an effort to build a consultative and inclusive arrangement, CESL also organised a roundtable discussion to discuss various aspects of energy transition solutions. The session was moderated by Mr. Anish De, Global Sector Head, Power & Utilities, KPMG, and included eminent thought leaders – Mr. Amal Sinha, Director and Group CEO, BSES, Delhi, Mr. S. Ramana Reddy, CEO, Andhra Pradesh Solar Power Corporation Pvt. Ltd (APSPCL), Govt. of Andhra Pradesh, Ms. Rebecca Self- Director, Sustainable Finance, South Pole, Mr. Manu Maudgal, Director-Clean Power Programme, Shakti Sustainable Energy Foundation, Dr. Martin Lux, Head of the Energy program at KfW Development Bank, Dr. ChandraSekar Govindarajalu, Lead Energy Specialist at the World Bank, Mr. Udit Mathur, Energy Advisor, Foreign Commonwealth, and Development Office (FCDO), Govt. of United Kingdom.