Battery storage tariffs in India are expected to go up as higher input costs have made it difficult to keep prices low, said a Reuters report on Wednesday, citing developers and lenders.
With around 260 GWh of energy storage projects under development, the Asian nation is pushing to expand battery storage to provide round-the-clock renewable power, the news report said.
Battery costs have gone up due to the withdrawal of export incentives by China and the rising prices of lithium, copper and aluminium amid the Middle East crisis.
The Reuters report quoted Debamalya Sen, president of the India Energy Storage Alliance, as saying that while the tariffs for standalone battery storage projects had fallen sharply over the last couple of years based on the assumption that battery cell costs would continue to decline, now, with the rise in costs, it has to be seen how those projects will survive.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)