Unlocking power of pumped storage hydropower: A sustainable energy solution

In the global shift towards renewable energy sources, energy storage solutions are gaining prominence. Pumped Storage Hydropower (PSH) is emerging as a reliable and versatile technology with the potential to shape a sustainable energy future.

PSH is a fundamentally simple system that consists of two water reservoirs at different elevations. During periods of surplus energy, excess electricity pumps water from the lower reservoir to the upper reservoir. 

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When demand for electricity peaks, water flows from the upper reservoir to the lower reservoir, passing through reversible turbines to generate electricity. This process forms an efficient energy storage system with rapid response capabilities.

Earlier this year, the Union Ministry of Power introduced draft guidelines to promote PSH projects in India. The country holds immense potential, estimated at 103 gigawatts (GW) of PSH capacity, but presently has only eight operational projects generating 4.7 GW, with an additional 52.6 GW in various stages of development.

Status of pumped storage development in India as of May 2023

Source: Central Electricity Authority

Compared to battery storage, PSH is considered more cost-effective and efficient. Its energy conversion rates often exceed 80 per cent, and PSH systems are known for their reliability and longevity. Their scalability and adaptability make them suitable for various terrains, and they leave a minimal environmental footprint.

In an era of fluctuating renewable energy sources, grid stability is critical. PSH excels in this aspect, providing frequency regulation and load-following capabilities. It can rapidly respond to grid imbalances, ensuring a stable electricity supply and facilitating the integration of intermittent renewables.

Renewable sources like wind and solar are intermittent, posing challenges for grid operators. PSH acts as a bridge, storing excess energy during surpluses and releasing it when needed. This maximises renewable energy utilisation, advancing a cleaner and more sustainable energy mix.

Environmental concerns are a priority. PSH stands as a cleaner alternative to fossil fuel-based energy storage methods, with minimal emissions and ecological impact. Adherence to best practices in site selection and environmental management minimises its local ecosystem impact.

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Union Minister of Power and New and Renewable Energy RK Singh attended non-governmental trade association ASSOCHAM’s Annual Conference 2023, Hydropower & Pumped Storage — Critical for Grid Resilience, which was held in August.  

The event underscored PSH’s role in India’s energy transition and grid resilience. Singh emphasised the need to augment energy storage capacity and committed to addressing the sector’s demands.

The minister also confirmed the imminent approval of the hydro policy, a significant step in promoting the hydropower sector. Private sector investment was emphasised as crucial for hydropower revival and PSH development. 

The central government’s proactive stance rekindles interest among developers and investors, fostering hope for sustainable energy projects.

Recognising sector challenges, including environmental clearances, the event emphasised streamlined processes. It encouraged rapid project execution, setting a 32-36 month construction-commission benchmark for PSP schemes. 

Singh endorsed recommendations for addressing Goods and Services Tax rate disparities and enhancing project viability. The forthcoming hydro policy aims to encourage private sector investment, stimulating sector growth and ensuring a resilient energy future. 

The minister’s attendance has revitalised the hydropower sector and PSH. With renewed policy commitment, private sector involvement, and problem-solving, India is poised for significant strides in its energy transition journey. 

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PSH’s spotlight signals a promising future for sustainable and reliable energy in the nation.

A series of recommendations are proposed in order to strengthen the capacity of pumped storage projects (PSPs) in India.

Recommendations proposed to strengthen the capacity of pumped storage projects

While PSH offers numerous merits, challenges exist, including geographical constraints and substantial capital requirements. Ongoing research and innovation are expected to overcome these challenges, driving increased efficiency and capacity.

PSH not only brings economic benefits, including job creation and local economic growth, but also enhances grid stability. It serves as a dependable energy storage source, balancing the grid during high demand or low supply periods. 

By storing surplus energy during off-peak times and releasing it during peak hours, it reduces reliance on expensive peaking power plants and supports grid stability. Additionally, PSH provides essential ancillary services such as frequency regulation and voltage support, critical for maintaining grid stability.

In the pursuit of clean and reliable energy sources, PSH emerges as a beacon of hope. Its efficient energy conversion, grid-stabilising capabilities and role in renewable energy integration make it a lynchpin in our sustainable energy future.

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