New Delhi, Nov. 10 -- The Union Cabinet last week approved a Rs.14,500 crore viability gap funding (VGF) scheme to set up 92 GWh of grid-scale energy storage capacity. The scheme aims to address the intermittent nature of renewable energy by supporting storage systems that can ensure a more reliable power supply and help stabilise the country's electricity grid. Mint explains the move.

Under the scheme, financial support of Rs.14,500 crore will be provided between FY27 and FY31. It aims to support 30GWh of battery energy storage systems (BESS), 60GWh of pumped storage projects (PSP) and 2GWh of emerging storage technologies. These projects, with an estimated investment requirement of Rs.97,600 crore, will be allocated through a tariff-ba...