Page 47 - Policy Economic Report - April 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

o Chitravathi (500 MW) in Andhra Pradesh

This is the outcome of the collaborative efforts of the PSP developers, appraising organisations (CWC, GSI
and CSMRS).

A number of steps were taken to resolve the issues and fast track the appraisal process. This is a big
achievement since inception of new concept of Off-Stream, close loop PSPs. CEA has made the appraisal
process transparent through the Portal “Jalvi Store”. The DPR for appraisal has been made shorter, check
list has been provided for ease of submission of chapters to appraising agency and many more such
initiatives.

Further, CEA has made ambitious plan to concur minimum 13 PSPs of about 22 GW during 2025-26. Most
of these PSPs are targeted to be commissioned in 4 years and latest by 2030. Development of these
projects shall boost energy storage capacity drastically in the country, making a major contribution to grid
reliability and supporting India’s ambitious renewable energy goals. This further underscores the CEA’s
ongoing commitment for facilitating the transition towards a more sustainable and resilient power
system.

The participation of private sector in this segment is quite encouraging and with the help of self-identified
PSP, the PSP potential in the country has crossed 200 GW and it is further increasing almost every month.
Thus, from a meagre 3.5 GW of operational hydro PSP capacity in the country, the development needs to
be taken up in an accelerated mission mode to harness this potential. This year two PSPs around 3000
MW will get commissioned and by 2032 we expect around 50 GW. At present 8 projects of 10 GW is under
construction and DPR has been concurred for 3 projects of around 3 GW. In addition to this, 49 projects
of 66 GW are under Survey and investigation. All these DPRs are expected to be finalised by the developers
in 2 years.

Hydro PSPs are vital for the energy transition, as they allow excess electricity generated during off-peak
hours to be stored in the form of water in elevated reservoirs. This stored energy can then be used back
during non-solar hours peak demand periods, ensuring a reliable, consistent, and flexible power supply.

State of art totally Indigenously developed Resource adequacy model (STELLAR) launched by Central
Electricity Authority

An indigenously developed Integrated Generation, Transmission and Storage Expansion Planning Model
with Demand Response, a vital Resource Adequacy Tool, has been launched on 11.04.2025 by Shri
Ghanshyam Prasad, Chairperson, Central Electricity Authority (CEA) in the presence of Sh. Alok Kumar, Ex-
Secretary (Power) and partner TLG and various representatives from the State Power Utilities. It is planned
to distribute this software model to all the States/ Discoms free of cost.

The indigenously developed tool is specifically designed to assist the states in carrying out a
comprehensive Resource Adequacy plan in line with the resource adequacy guidelines issued by the
Ministry of Power in June 2023.

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