India is poised to achieve 70% round-the-clock (RTC) clean electricity for commercial and industrial consumers by 2030. This shift promises lower costs and greater emissions reductions compared to traditional annual clean energy procurement. A new analysis marks the benefits of hourly matching of electricity demand with zero-carbon sources such as solar, wind, and battery storage. This approach supports India’s growing energy needs while advancing its climate goals.
About Round-The-Clock Clean Electricity
RTC clean electricity means matching every hour of electricity use with carbon-free power. Unlike annual renewable energy certificates, which offset consumption on a yearly basis, recent-controversies/" target="_blank" rel="noopener">RTC ensures clean power availability throughout the day and night. This method drives real decarbonisation by encouraging continuous clean energy supply rather than just accounting for it on paper.
Cost and Emissions Benefits
Deploying 52 GW of RTC clean electricity by 2030 can serve 5% of India’s national demand and save up to ₹9,000 crore annually. Emissions can be cut by 2.4% at 70% RTC matching, more than double the 1% reduction under annual matching. At 100% RTC, emissions could fall by 7%. The cost of carbon abatement with RTC is nearly three times lower than with annual matching, making it a highly cost-effective strategy.
Role of Solar, Wind, and Battery Storage
RTC clean electricity relies on a mix of solar, onshore wind, and battery storage. Solar and batteries complement each other well. Each megawatt of solar power requires about 2 megawatt-hours of battery storage to maintain stable supply day and night. Long-duration energy storage plays a minor role due to high costs and competition from cheaper lithium-ion batteries.
Significance for Maharashtra and Digital Infrastructure
Maharashtra, home to India’s largest data centre cluster, stands to gain from RTC clean energy. Data centres demand continuous, reliable power, making hourly clean energy matching essential. Transitioning to RTC clean electricity enhances climate resilience and reduces emissions in this rapidly growing sector.
Policy and Market Implications
Incentivising RTC clean electricity procurement is vital for cost-effective grid planning and market stability. It can prevent issues like declining power purchase agreement (PPA) capture rates seen in some European countries. Policymakers are urged to support flexible market mechanisms that reward real-time clean energy use rather than annual aggregates.
Alignment with Global Standards
The Greenhouse Gas Protocol is revising its Scope 2 guidance to favour hourly emissions accounting. This change will increase the relevance of RTC clean electricity for companies aiming for credible ESG compliance. RTC procurement aligns with emerging global standards and supports transparent corporate emissions reporting.
Future Outlook for India’s Energy Transition
India aims to reach 500 GW of non-fossil fuel capacity by 2030. RTC clean electricity offers a cost-effective and climate-smart pathway to meet this target. It promises savings for grid operators, affordable clean power for industries, and a resilient, sustainable energy future.
Questions for UPSC:
- Critically analyse the role of renewable energy storage solutions in achieving India’s clean energy targets. With suitable examples, explain the challenges and opportunities involved.
- What are the implications of the Greenhouse Gas Protocol’s Scope 2 guidance revision on corporate sustainability reporting? How can India’s regulatory framework adapt to these changes?
- Explain the significance of round-the-clock clean energy procurement in industrial decarbonisation. Comment on its impact on grid stability and energy market dynamics.
- With reference to Maharashtra’s digital infrastructure growth, discuss the importance of climate resilience in energy planning. What lessons can be drawn for other rapidly urbanising regions?
