India’s Path to 70% Round-The-Clock Clean Electricity
India is set to achieve 70% round-the-clock (RTC) clean electricity for commercial and industrial consumers by 2030. This strategy promises lower costs than traditional annual clean energy procurement. A recent report by TransitionZero, a global climate analytics non-profit, marks the potential benefits of deploying 52 GW of RTC clean electricity capacity. This would meet 5% of India’s projected national electricity demand and save up to ₹9,000 crore ($1 billion) annually for the grid.
About Round-The-Clock Clean Electricity
RTC clean electricity means matching every hour of electricity use with power from zero-carbon sources such as solar, wind, and battery storage. Unlike annual renewable energy certificates that offset electricity use on a yearly basis, RTC ensures clean energy is available all day and night. This method supports real decarbonisation by aligning electricity consumption and clean power generation hourly.
Cost and Emission Benefits
The RTC model can reduce emissions by 2.4% at 70% matching, more than double the 1% reduction under annual matching. At full 100% RTC matching, emissions could drop by 7%. Importantly, the cost of carbon abatement via RTC is nearly three times lower than annual matching. This makes RTC a more efficient and economical way to achieve carbon reductions while supporting grid stability.
Importance for Heavy Industries and Data Centres
Industries with constant electricity demand, such as heavy manufacturing and data centres, benefit greatly from RTC clean electricity. Their flat 24/7 consumption requires hourly clean energy matching for effective decarbonisation. Maharashtra, home to India’s largest data centre cluster, stands to gain from this shift. The state faces rising energy demand and climate risks, making RTC clean electricity a dual solution for emissions and resilience.
Grid Planning and Market Implications
Incentivising RTC clean electricity procurement aids least-cost grid planning and offers substantial savings for grid operators. It also encourages a sustainable market for renewable energy power purchase agreements (PPAs). Failure to adopt flexible planning could lead to issues like those in Europe, where renewable oversupply has reduced market revenues and PPA capture rates. RTC clean energy can be deployed using solar, onshore wind, and battery storage, with solar and batteries showing strong synergy.
Role of Energy Storage Technologies
Battery storage, especially 4-hour lithium-ion batteries, plays a key role in RTC clean electricity. Each MW of solar requires about 2 MWh of battery storage to maintain a stable supply day and night. Long-duration energy storage (LDES) currently plays a minimal role due to high costs and lower competitiveness. The falling prices and availability of lithium-ion batteries make them the preferred choice for now.
Policy and Future Outlook
The Greenhouse Gas Protocol is revising its Scope 2 guidance to favour hourly emissions accounting. This update will increase the relevance of RTC clean electricity for ESG-compliant companies. TransitionZero recommends clear regulatory incentives and flexible market mechanisms to encourage real-time clean energy use. RTC clean electricity is seen as a ‘no regrets’ option for India’s energy planners, grid operators, and corporations, supporting the country’s goal of 500 GW non-fossil fuel capacity by 2030.
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