{"id":127506,"date":"2026-10-05T11:59:04","date_gmt":"2026-10-05T06:29:04","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=127506"},"modified":"2026-10-05T11:59:04","modified_gmt":"2026-10-05T06:29:04","slug":"green-energy-corridor-phase-3-%e2%82%b91-86-lakh-crore-renewable-push","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/green-energy-corridor-phase-3-%e2%82%b91-86-lakh-crore-renewable-push\/","title":{"rendered":"Green Energy Corridor Phase 3: \u20b91.86 Lakh Crore Renewable Push"},"content":{"rendered":"<h2><b>Green Energy Corridor Latest News<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The Centre approved the <\/span><b>third phase of the Green Energy Corridor (GEC)<\/b><span style=\"font-weight: 400;\">, with an outlay of \u20b91.86 lakh crore, aimed at facilitating the evacuation of up to 135 gigawatts (GW) of renewable energy (RE).\u00a0<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Evacuation refers to transferring electricity generated from renewable sources to the places where it is actually consumed.<\/span><\/li>\n<\/ul>\n<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">This comes as India&#8217;s rapidly expanding RE capacity poses a growing challenge: ensuring electricity generated from renewables can actually be evacuated and absorbed by the grid when and where needed.<\/span><\/li>\n<\/ul>\n<h2><b>What Is the Green Energy Corridor (GEC)?<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The GEC is a flagship government programme to build dedicated transmission infrastructure integrating large-scale renewable energy \u2014 solar and wind \u2014 into the national power grid.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>What&#8217;s New in Phase 3<\/b><span style=\"font-weight: 400;\">: For the first time, GEC includes a dedicated battery energy storage component, with provisions for deploying 50 gigawatt-hours (GWh) of Battery Energy Storage Systems (BESS).<\/span><\/li>\n<\/ul>\n<h3><b>Understanding Storage:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Energy storage systems store excess renewable electricity during high-generation periods and discharge it when demand rises but generation remains low.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">They convert electricity into a storable form when available, then convert it back to electricity when needed.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A GWh measures total energy produced, consumed, or stored over a period.<\/span><\/li>\n<\/ul>\n<h2><b>Why This Matters: The Evacuation Problem<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Transmission bottlenecks and grid congestion \u2014 particularly during periods of high solar generation in the daytime \u2014 are causing renewable power to be curtailed or restricted from being evacuated.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">This problem is worsening because renewable capacity is expanding faster than the transmission infrastructure needed to carry it.<\/span><\/li>\n<\/ul>\n<h2><b>How the \u20b91.86 Lakh Crore Is Allocated<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Intra-State Transmission Systems (InSTS) &#8211; Over \u20b91.36 lakh crore<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">50 GWh of BESS &#8211; \u20b950,000 crore<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Central Financial Support (CFS) &#8211; \u20b954,082 crore<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">The CFS is meant to <\/span><b>offset intra-state transmission charges<\/b><span style=\"font-weight: 400;\"> and keep power costs lower for end users.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><b>Implementation Models:<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Greenfield projects<\/b><span style=\"font-weight: 400;\"> (entirely new) under InSTS: Tariff-Based Competitive Bidding (TBCB) \u2014 private transmission companies compete to develop and operate a project at a competitively determined tariff.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Brownfield upgrades and network-strengthening<\/b><span style=\"font-weight: 400;\">: Cost-Plus Basis (CPB) \u2014 project cost plus an approved return is recovered through the regulated tariff.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Who implements it:<\/b><span style=\"font-weight: 400;\"> State transmission utilities serve as overall implementing agencies, while transmission service providers participate in the TBCB process under a build-own-operate-maintain model.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The scheme targets completion by FY33.<\/span><\/li>\n<\/ul>\n<h2><b>The Scale of India&#8217;s Future Needs And Significance of GEC-III<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">India is expected to add around <\/span><b>400 GW of RE capacity<\/b><span style=\"font-weight: 400;\"> between 2030 and 2035\u201336.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">This would require about 160 GW of additional InSTS infrastructure.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\"><strong><a href=\"https:\/\/vajiramandravi.com\/current-affairs\/green-energy-corridor-phase-iii-scheme\/\" target=\"_blank\">GEC-III<\/a><\/strong> is expected to support 135 GW of this infrastructure creation at the state level.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Decentralisation Goal:<\/b><span style=\"font-weight: 400;\"> The scheme would also help decentralise RE capacity, which has so far been concentrated largely in five states.\u00a0<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Proposals have already been received from at least 13 states, expanding GEC&#8217;s geographical footprint \u2014 GEC-I covered eight states, GEC-II covered seven states.<\/span><\/li>\n<\/ul>\n<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Boosting Private Capital<\/b><span style=\"font-weight: 400;\">: Greenfield projects \u2014 traditionally developed by states via CPB using budgetary resources or loans \u2014 will now be opened to TBCB.\u00a0<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Experts draw a parallel with inter-state transmission (ISTS), where transmission service providers bring in capital upfront and recover it over a 35-year period.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">The same model will now apply at the state level, aiming to maximise private capital inflow and competition.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2><b>The Challenges So Far<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Persistent delays<\/b><span style=\"font-weight: 400;\">. MNRE is implementing GEC in two phases (GEC-I and GEC-II) to augment transmission lines and transformation capacity. Both have faced consistent delays:<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">GEC-I: Now expected to complete by March 2027.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">GEC-II: All projects expected to complete by 2028.<\/span><\/li>\n<\/ul>\n<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A steering committee at the Cabinet Secretary level will monitor GEC-II and GEC-III progress twice a year.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Transmission constraints<\/b><span style=\"font-weight: 400;\"> are a major barrier to evacuating RE power. In FY26, around 6,900 GWh of clean electricity faced restrictions due to a mismatch between rapid RE deployment and the pace of transmission infrastructure commissioning.<\/span><\/li>\n<\/ul>\n<h2><b>Why Battery Storage Is So Significant<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Large volumes of renewable energy have had to be curtailed \u2014 meaning grid operators ask RE plants to reduce or temporarily stop generation to maintain grid stability \u2014 particularly during daytime peak solar generation, when supply can exceed the grid&#8217;s absorption capacity.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">This happens mainly due to a lack of energy storage capacity.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>The Storage Gap<\/b><span style=\"font-weight: 400;\">: Deployment of energy storage systems has not kept pace with rapid RE capacity addition, raising concerns about whether the grid can efficiently absorb rising renewable power shares.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Current Installed Capacity<\/b><span style=\"font-weight: 400;\">:<\/span>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">BESS: ~2.9 GW<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Pumped Hydro Storage (PHS): ~7.2 GW<\/span><\/li>\n<\/ul>\n<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><b>Future Targets (Central Electricity Authority plan, by 2035\u201336):<\/b>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">Total storage capacity: 174 GW \/ 888 GWh<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">BESS: 80 GW \/ 321 GWh<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"2\"><span style=\"font-weight: 400;\">PHS: 94 GW \/ 567 GWh<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2><b style=\"font-size: inherit;\">Conclusion<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Generating clean power is only half the challenge \u2014 moving and storing it is the other half, and India has been lagging on both.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">GEC-III&#8217;s dual focus on transmission and, for the first time, battery storage, signals recognition that curtailment, not generation capacity, is the real bottleneck.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Whether India meets its 2035\u201336 storage targets will determine if this renewable energy boom translates into reliable power, or continues to be wasted at the point of generation.<\/span><\/li>\n<\/ul>\n<p><b>Source<\/b><span style=\"font-weight: 400;\">: <\/span><a href=\"https:\/\/indianexpress.com\/article\/explained\/explained-economics\/green-energy-corridor-phase-3-renewable-battery-storage-10902409\/\" target=\"_blank\" rel=\"nofollow noopener\"><span style=\"font-weight: 400;\">IE<\/span><\/a><span style=\"font-weight: 400;\"> | <\/span><a href=\"https:\/\/timesofindia.indiatimes.com\/business\/india-business\/third-edition-of-green-energy-corridor-to-add-51126-ckm-transmission-lines-50-gwh-bess\/articleshow\/134663120.cms\" target=\"_blank\" rel=\"nofollow noopener\"><span style=\"font-weight: 400;\">ToI<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Green Energy Corridor Phase 3 will invest \u20b91.86 lakh crore to evacuate 135 GW of renewable energy, strengthen transmission and deploy 50 GWh battery storage.<\/p>\n","protected":false},"author":18,"featured_media":127562,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[18],"tags":[10618,60,22,59],"class_list":["post-127506","post","type-post","status-publish","format-standard","has-post-thumbnail","category-upsc-mains-current-affairs","tag-green-energy-corridor","tag-mains-articles","tag-upsc-current-affairs","tag-upsc-mains-current-affairs","no-featured-image-padding"],"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/127506","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/18"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=127506"}],"version-history":[{"count":3,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/127506\/revisions"}],"predecessor-version":[{"id":127572,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/127506\/revisions\/127572"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/127562"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=127506"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=127506"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=127506"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}