Analysis for BSES Rajdhani Power Limited reveals solar-plus-storage offers cleaner, more cost-effective round-the-clock electricity compared to new thermal power plants.
Solar power combined with energy storage technologies has emerged as a more economical option than new thermal power plants, according to a new analysis by The Energy and Resources Institute (TERI). The study, conducted for BSES Rajdhani Power Limited (BRPL), assessed the cost of meeting a DISCOM’s peak demand using solar power paired with Battery Energy Storage Systems (BESS) and Pumped Storage Plants (PSP).
The analysis found that solar-plus-BESS costs range between ₹3.9–₹4.3 per kWh, while solar-plus-PSP costs fall between ₹4.4–₹4.9 per kWh. In contrast, electricity from new thermal power plants is priced significantly higher, at ₹5.4–₹5.8 per kWh.
These findings were presented at a session held at TERI titled “Solar Plus Storage: A Few Options for Round-the-Clock Supply – Sizing and Cost Implications”, where experts from TERI and the U.S. National Renewable Energy Laboratory (NREL) discussed the feasibility of meeting BRPL’s seasonal peak demand entirely through solar-plus-storage solutions.
Commenting on the study, Mr. Ajay Shankar, Distinguished Fellow at TERI, called the analysis “a thought experiment to assess the cost implications of solar-plus-storage systems combining battery and pumped storage plants.” He added that the results highlight the growing viability of solar energy as a reliable and sustainable power source.
Experts noted that as solar tariffs have dropped by over 90% in the past decade, the next frontier for India’s clean energy transition lies in expanding affordable energy storage capacity—crucial for achieving the nation’s 24×7 green power goals.
The full theoretical study can be accessed here