Reducing India’s dependence on coal-based grid stability and enabling high Variable Renewable Energy (VRE) integration through cost-effective grid-forming inverter

Problem Overview: High curtailment of VRE, and dependence on thermal generation for grid stability

India has rapidly scaled up VRE, with solar & wind accounting for 38% of installed capacity which is growing rapidly, with a target of >500 GW non-fossil electricity capacity by 2030 and significantly higher renewable penetration over coming decades. However, with increase in RE on supply side, there are critical technical challenges for the grid. As inverter-based RE generation capacity increases and looks to replace conventional synchronous generators, grid loses many of the stability services historically provided by coal and gas including inertia, voltage support & frequency regulation. Traditional grid-following inverters are vulnerable to high renewable penetration. Most grid-forming inverters (GFM) can provide stability needed, including fast frequency response (within 100 ms) and synthetic inertia that mimics synchronous machines, but in India are currently deployed only in small scale with BESS and microgrids, and cost 1.5-2x more than standard alternatives. There are also challenges related to interoperability, control complexity, and monetization of grid services. Without significant cost reductions and scalable deployment pathways, India may continue relying on coal for essential grid stability services, limiting RE integration & decarbonization.

Core Bottlenecks: Technical friction without financial incentive

Having the capability of synthetic inertia and frequency response could allow for larger utilization of VRE and act as grid-stabilizing enabler as the coal MTL is reduced. However, challenges remain:

Existing Approaches and Technology Readiness

Where is the white-space for innovation?

Given cost sensitivity, for early adoption, the need is for existing VRE assets to be upgraded to provide grid-forming capabilities through software and control architectures rather than expensive hardware replacement. This would require innovation in two fronts: