How ISTS is Powering India's Businesses with Renewable Energy

Introduction

India’s push towards renewable energy is gaining momentum, and the Inter State Transmission System (ISTS) is playing a crucial role in facilitating this transition. As businesses increasingly look to adopt clean energy, ISTS provides them with the infrastructure needed to source power from renewable-rich states, overcoming geographical constraints and ensuring reliable energy supply.

What is ISTS?

ISTS refers to the national grid network that enables electricity to be transmitted across different states. Managed by the Power Grid Corporation of India Limited (PGCIL), ISTS allows power to be wheeled seamlessly from surplus renewable energy zones to high-demand industrial and commercial regions.

How ISTS Benefits Businesses

1. Access to Affordable Renewable Energy

  • Businesses can procure renewable power from regions with abundant solar and wind energy at competitive prices.
  • Waiver of ISTS Charges: The Indian government has extended the waiver of ISTS charges for renewable energy procurement until 2025, making green power even more cost-effective. (Source: Ministry of Power, 2024)
  • Cost Savings: Companies procuring power through ISTS can achieve savings of ₹1.5 - 2.5 per kWh compared to conventional power. (Source: CERC, 2024)

2. Overcoming Geographical Barriers

  • Industries located in low-renewable zones can still access clean energy via ISTS without setting up local generation units.
  • Facilitates the use of Green Open Access, allowing companies to source energy directly from independent renewable generators.
  • India’s renewable energy-rich states like Rajasthan, Gujarat, and Tamil Nadu collectively contribute over 55% of the nation’s renewable capacity, making ISTS crucial for energy transfer. (Source: CEA, 2024)

3. Enhancing Energy Reliability & Stability

  • ISTS reduces dependence on localized power grids, mitigating power shortages and fluctuations.
  • Ensures 24/7 renewable power supply by integrating hybrid energy sources and energy storage systems.
  • Energy storage additions via ISTS-connected projects are projected to exceed 30 GWh by 2025, improving grid reliability. (Source: NITI Aayog, 2024)

Comparison: Inter State vs Intra State Transmission Benefits

ParameterIntra State TransmissionInter State Transmission (ISTS)
Energy SourcingLimited to local renewable sourcesAccess to renewable energy from multiple states
Cost of PowerMay be higher due to limited optionsLower costs through competitive sourcing
Grid ReliabilityDependent on state grid infrastructureEnhanced reliability through national grid support
Policy IncentivesLimited state-specific benefitsGovernment incentives like ISTS charge waivers
FlexibilityRestricted to state regulationsMore flexible procurement strategies

(Source: Ministry of Power, PGCIL, CEA 2024)

Industries Benefiting from ISTS

  • Manufacturing: Large industrial clusters can transition to renewables without setting up dedicated plants.
  • IT & Commercial Sectors: Data centres and corporate offices can ensure sustainable energy procurement.
  • Textile & Automotive: High-energy-consuming industries can meet their net-zero targets efficiently.

The Road Ahead

The government’s continued investment in ISTS, along with policies such as the Green Energy Corridor and Open Access Reforms, will further boost renewable energy adoption. As businesses align with sustainability goals, leveraging ISTS will be a game-changer in reducing costs and enhancing environmental impact.

  • ISTS transmission infrastructure is set to expand by 50,000 circuit kilometres by 2030, ensuring seamless integration of renewable power. (Source: Power Grid Corporation, 2024)
  • Investment of ₹2.5 lakh crore ($30 billion) is being directed towards ISTS expansion and energy storage solutions. (Source: Ministry of Power, 2024)

Get Started with ISTS-Enabled Renewable Energy

Looking to integrate renewable energy into your business operations? Our team can help you navigate ISTS policies, procurement strategies, and cost-saving opportunities.

Contact us today on sales@carbonculture.co to explore how ISTS can power your sustainable future!