The curtailment of renewable energy is not merely a technical failure but a governance and regulatory challenge.
Q. The curtailment of renewable energy is not merely a technical failure but a governance and regulatory challenge. (15 marks, 250-350 words)
Curtailment — the deliberate throttling of renewable output when the grid cannot absorb it — is usually read as a wiring problem. Yet with the CEA estimating a requirement of about 336 GWh of storage by 2029-30 [1], India's curtailment losses arise less from physics than from planning, institutional and regulatory gaps.
The technical surface - Solar generates at midday while demand peaks after sunset; absent storage, the surplus is simply spilled and substituted by thermal peakers. - Energy Storage Systems were recognised as an integral part of the power system only through the December 2022 amendment to the Electricity Rules [1]. - Construction and safety standards for BESS were codified only recently, delaying bankable projects [1].
Why it is a governance challenge - Planning lag: NITI Aayog's ESS Roadmap 2019–2032 flagged the storage need years in advance [2], yet capacity addition raced ahead — 2025 saw India's highest-ever renewable expansion [3] — while storage trailed. - DISCOM weakness: financially stressed utilities cannot underwrite long-term storage PPAs; VGF rules therefore mandate that at least 85% of output be first offered to DISCOMs [4]. - Fiscal leakage: curtailed power is still compensated under must-run contracts, transferring the cost of poor coordination to consumers. - Centre–State asymmetry: solar-rich states cannot unilaterally build inter-state storage or evacuation infrastructure.
Why it is a regulatory challenge - The Energy Storage Obligation, notified in 2022 and rising to 4% by 2029-30 [1], remains an obligation without strong enforcement. - Two VGF schemes (March 2024 and June 2025), covering ~43 GWh [5], address capital cost but not market design. - CERC's enabling of grid connectivity in non-solar hours [1] shows that regulation, not hardware alone, unlocks evening supply.
Curtailment is thus the visible symptom of a grid whose regulatory architecture was built for dispatchable thermal power. Enforceable storage obligations, DISCOM balance-sheet reform, time-of-day tariffs and co-located storage can convert wasted midday sunshine into firm evening supply — making the 500 GW non-fossil target and net-zero 2070 genuinely credible.
(~325 words)
Sources: 1. Development and Deployment of Energy Storage Capacities to Power Reliable Renewable Future — PIB — CEA storage requirement (336 GWh by 2029-30), Electricity Rules 2022 amendment recognising ESS, BESS technical/safety standards, Energy Storage Obligation trajectory, CERC non-solar-hour connectivity 2. Energy Storage System (ESS) Roadmap for India: 2019–2032 — NITI Aayog — early official flagging of India's storage requirement 3. 2025 Marks Highest-Ever Renewable Energy Expansion in India's Energy Transition Journey — PIB — record renewable capacity addition outpacing storage 4. At least 85% of power from VGF-funded BESS projects to be first offered to Discoms — PIB — DISCOM-first offtake mandate under VGF 5. Government Takes Multi-Pronged Steps to Scale Up Energy Storage Capacity in the Country — PIB — two VGF schemes (March 2024, June 2025) totalling ~43 GWh of BESS