Andhra Pradesh Planning for 7 Storage Plants Worth Nearly 6300 MW

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The Andhra Pradesh Government is planning to set up seven Pumped Hydro Storage Power Projects (PSP) in the state, to balance renewable energy projects.

The state government of Andhra Pradesh is planning to set up seven Pumped Hydro Storage Power Projects (PSP) as part of its decision to promote new renewable energy power plants in the state. The PSP mode is likely to balance fluctuations in total input power from the existing renewable energy plants depending on solar and wind power stations. PSP projects will act as large-scale energy storage stations.

The state government has identified seven locations to set up PSP plants to the tune of nearly 6,300 megawatts. “This is a new concept on the energy storage platform and brings new life to the renewable energy sector,” said S Ramana Reddy, Managing Director of New and Renewable Energy Development Corporation (NREDC) while addressing local press.

As reported by the ET, Reddy said that consultancy firms were finalised to ready the Detailed Project Reports (DPRs) for setting up the power stations. He said that PSP stations would be coming up at Gandikota (Kadapa), Chitravati (Ananthapuram), Somasila (Nellore), Owk (Kurnool), Kurukutti, Karrivalasa (Vizianagaram) and Yerravaram (Visakhapatnam).

Adding that that renewable energy is variable due to sudden cloud covers and wind variations. In order to balance the generation, energy storage technology is required.

“PSPs are commercially viable, commonly used and large-scale electricity storage technology,” said Ramana Reddy. He said that though battery storage system is available, they were not only expensive but also unsuitable to store high volumes. He said that highest battery storage unit was set up in Australia with 100 MW. While it is difficult to ramp up and ramp down the battery storage system, PSPs are easy to handle, he explained.

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One such PSP project that is already in the works is the Greenko Group’s pumped storage project under its Integrated Renewable Energy Project (IREP) in the state. As part of the IREP, the Hyderabad headquartered Greenko Group is currently setting up a 550 megawatt (MW) wind power project, 1,000 MW of solar energy project and 1,680 MW of reverse pumping project in the state.

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In June, the Andhra Government had announced that it had secured an additional revenue of Rs 3495 crore after it successfully renegotiated the contract, for the proposed IREP with Greenko.

The projects being developed by the Greenko Group are the ones it won under the Solar Energy Corporation of India’s (SECI’s) landmark and first of its kind tender for 1.2 GW hybrid wind-solar power projects, which also had an energy storage and guaranteed peak power supply provision. The group had been awarded 900 MW capacity in the tender after submitting a bid at a peak power tariff rate of Rs 6.12/ kWh.