Approvals Constraining Green Energy Open Access Growth in Telangana
Export requirements are driving solar plus storage solutions in Telangana businesses
August 27, 2026
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Telangana’s commercial and industrial (C&I) consumers are increasingly exploring rooftop solar, behind-the-meter projects, and energy storage to lower electricity costs and meet sustainability targets. However, restrictions on open access approvals, challenges in securing synchronization for larger behind-the-meter projects, and the economics of battery storage continue to constrain adoption.
Industry experts said growing pressure on export-oriented businesses to reduce their emissions could accelerate demand for solar-plus-storage and other renewable energy solutions.
Rooftop and Behind-the-Meter Solar
Commercial consumers generally have fewer opportunities to deploy large rooftop solar systems because of space constraints, while industrial consumers can consider net-metered and behind-the-meter projects. Industries with surplus land can also deploy ground-mounted systems.
Seshagiri Meka, Managing Director at Winsol Cleantech, said Telangana permits net-metered systems up to 500 kW. Behind-the-meter systems can be larger, but obtaining official synchronization approvals for projects above 500 kW remains challenging.
He estimated that Telangana already has around 300 MW to 400 MW of behind-the-meter solar capacity, with individual installations ranging from around 1 MW to as much as 15 MW to 20 MW at a single location.
Meka said developers should examine at least 12 months of a consumer’s electricity consumption to determine the minimum steady load. As a thumb rule, he recommended around 1 MW of solar for every 700 kW of continuous load.
For example, a consumer with a continuous load of around 2 MW could consider approximately 3 MW of behind-the-meter solar capacity.
Consumption Patterns
Bharat Singh TN, Director of Sales and Marketing at Ningbo Deye New Energy, said energy storage systems can store solar power during generation hours and discharge it during non-solar periods when electricity demand is higher, helping consumers reduce grid electricity expenses.
The appropriate storage capacity must be determined by studying the consumer’s annual load pattern, peak demand, and required backup duration, he said.
Importance of Hybrid Inverters
Singh said rooftop systems can use micro, string, or hybrid inverters. Hybrid inverters are emerging as a future-ready option because they can integrate solar generation with lithium-ion batteries.
He said C&I consumers, particularly export-oriented manufacturers, are increasingly considering hybrid inverter and storage solutions as overseas customers scrutinize the clean energy footprint of their production facilities.
Hybrid systems can also integrate electric vehicle (EV) charging. Residential consumers could use rooftop solar and batteries to charge electric two- and four-wheelers, while commercial establishments could deploy higher-capacity EV chargers.
Energy Storage Economics
Meka said selling electricity stored in energy storage systems directly to distribution companies is not currently practical for individual industrial consumers because DISCOMs procure electricity through established tendering and auction mechanisms.
Such business models could be better suited to large renewable energy parks combining solar, wind, and storage, where economies of scale can reduce costs, he said.
Meka said even using energy storage systems to offset peak electricity costs may not currently offer attractive returns to industries in Telangana. Storage could, however, find applications where uninterrupted power is critical, such as certain pharmaceutical manufacturing processes.
Storing electricity solely to export it later can also add unnecessary costs and energy losses where net metering already enables consumers to offset generation against consumption.
A consumer could, however, install 500 kW under net metering and use additional solar capacity to charge batteries for evening consumption. The consumer must ensure that power exported to the grid does not exceed the approved net-metering capacity and evaluate whether the additional storage investment is economically viable.
Singh added that hybrid inverters can be programmed to control when batteries charge and discharge and when available electricity is exported to the grid.
Open Access Constraints
Open access offers another route for C&I consumers to source renewable energy from projects located away from their premises, but approvals remain a constraint in Telangana.
Meka said around seven or eight open access applications have recently been cleared for select consumers, including pharmaceutical companies and hospitals. However, approvals remain restricted across consumer categories.
He said limitations on open access could particularly affect IT facilities, global capability centers, and other businesses that have corporate renewable energy targets.
Intra-state renewable energy procurement could be more suitable for IT parks and facilities with variable loads, while interstate transmission system-based procurement is generally better suited to large consumers with steady electricity demand.
Renewable Energy Access and Competitiveness
Meka said states should view electricity as an enabling service for industrial growth rather than focus solely on potential reductions in DISCOM revenue from renewable energy adoption.
Lower electricity costs can encourage capacity expansion, attract investment, and generate employment, while new industrial facilities can increase contract demand and associated revenues for distribution companies, he said.
Meka said global companies are placing greater emphasis on the renewable energy footprint and sustainability metrics of their suppliers. Telangana-based manufacturers could face competitiveness challenges if they are unable to procure adequate renewable electricity while suppliers operating in other states have greater access to green power.
Selecting Future-Ready Systems
Singh said inverter and battery manufacturers should be assessed based on their research and development capabilities, firmware upgrades, warranty coverage, and service infrastructure.
Hybrid inverters can currently integrate solar, wind, batteries, and diesel generators. Diesel generators can provide backup during grid outages when batteries are depleted, while future systems could also integrate energy from biogas and biomass.
Singh said hybrid inverter sales in India have increased over the past two years, although adoption of systems paired with battery storage remains relatively limited in Telangana and Andhra Pradesh.
Export Requirements Drive Solar-Plus-Storage
Singh cited a spinning mill in Tamil Nadu where a 375 kW system paired with 750 kWh of battery storage was installed to support cleaner production and reduce the use of diesel generators.
The facility’s European customers wanted the processing plant to increase its use of solar-plus-storage, and the project has subsequently generated interest from neighboring spinning mills, he said.
Emerging Storage Technologies
Singh said consumers should evaluate battery chemistry, manufacturing quality, and protection mechanisms when selecting lithium-ion systems.
Sodium-ion batteries could also begin emerging over the next few years, initially in utility-scale and larger energy storage system applications rather than residential installations, he said.
Industry experts shared these views at Mercom India’s C&I Clean Energy Meet held in Hyderabad during a session titled ‘Harnessing the Green Route to Reducing Electricity Bills.’
The next Mercom India C&I Clean Energy Meet will be held in Vizag on September 25, 2026.
