Rajasthan could save up to ₹8,500 crore by 2030 with renewables-plus-storage: Report

- Renewable

- 1 min read

Rajasthan could save up to ₹8,500 crore by 2030 with renewables-plus-storage: Report

Clean energy pathway could lower system costs and unlock ₹3,500 crore in additional discom revenue, study says.

Rajasthan could save up to ₹8,500 crore in power procurement costs in 2030 if it chooses renewable energy backed by battery storage over building new coal plants, according to a study by the Council on Energy, Environment and Water (CEEW).

It said that moving toward a clean energy mix would deliver net procurement savings ranging between ₹1,140 crore and ₹8,500 crore, while unlocking an additional ₹3,500 crore in revenue for state distribution companies through surplus electricity sales on power exchanges.

The findings come against the backdrop of a February 2025 proposal by Rajasthan discoms to contract 3,200 megawatts (MW) of new coal capacity to plug future supply deficits.

Nearly 90 per cent of Rajasthan's projected 5.5-billion-unit deficit occurs during non-solar hours, when solar power is offline and the grid demands resources capable of ramping up swiftly to meet fluctuating evening peaks.

“Discoms should evaluate options based on grid needs and overall system cost, rather than technology-level costs alone,” said Disha Agarwal, Fellow at CEEW.

The study estimated that the clean energy transition could draw approximately ₹60,000 crore in capital investment into Rajasthan over the next five years, compared to ₹40,000 crore under the coal expansion scenario.

At the same time, overall system costs in 2030 would sit lower at ₹61,800 crore to ₹65,900 crore under renewables-plus-storage, compared to ₹67,100 crore to ₹70,300 crore under new coal.

The renewable pathway is also projected to create nearly 27,000 full-time-equivalent jobs by 2030, which is eleven times the 2,560 jobs generated by new thermal capacity.

It said that moving toward a clean energy mix would deliver net procurement savings ranging between ₹1,140 crore and ₹8,500 crore, while unlocking an additional ₹3,500 crore in revenue for state distribution companies through surplus electricity sales on power exchanges.

The findings come against the backdrop of a February 2025 proposal by Rajasthan discoms to contract 3,200 megawatts (MW) of new coal capacity to plug future supply deficits.

Nearly 90 per cent of Rajasthan's projected 5.5-billion-unit deficit occurs during non-solar hours, when solar power is offline and the grid demands resources capable of ramping up swiftly to meet fluctuating evening peaks.

“Discoms should evaluate options based on grid needs and overall system cost, rather than technology-level costs alone,” said Disha Agarwal, Fellow at CEEW.

The study estimated that the clean energy transition could draw approximately ₹60,000 crore in capital investment into Rajasthan over the next five years, compared to ₹40,000 crore under the coal expansion scenario.

At the same time, overall system costs in 2030 would sit lower at ₹61,800 crore to ₹65,900 crore under renewables-plus-storage, compared to ₹67,100 crore to ₹70,300 crore under new coal.

The renewable pathway is also projected to create nearly 27,000 full-time-equivalent jobs by 2030, which is eleven times the 2,560 jobs generated by new thermal capacity.

Powered by Reporting Rajasthan Files