Oil and Natural Gas Corporation (ONGC) is engaging in talks with global entities, including Malaysia's Gentari, to establish a joint venture focusing on energy storage. This strategic move comes as ONGC advances further into its ambitious energy transition journey.

The proposed joint venture would encompass battery storage and pump storage projects, according to Arun Kumar Singh, Chairman and CEO of ONGC. Gentari, the green-energy arm of Malaysia's Petroliam Nasional Berhad (Petronas), is one of the entities involved in the discussions.

In an interview, Singh mentioned, "In energy storage, we are hoping for something big. It will be a JV (joint venture) model. We are already in talks. We have been talking to them (Gentari). There are two-three more people (global entities)."

ONGC has allocated a substantial Rs 1 trillion investment for its energy transition initiative until 2030. Should energy storage emerge as a priority area, the company might channel its entire dedicated capital expenditure toward storage, Singh stated.

Singh emphasised that energy storage is a pivotal aspect of ONGC's energy transition strategy, highlighting the significant potential in India. Given the sector's growth prospects and ONGC's robust financial foundation, the capital-intensive realm of energy storage aligns well with the company's investment objectives.

Queries sent to Gentari remain unanswered as of press time.

Singh's perspective on renewable-energy avenues underscores that energy storage, particularly the combination of battery and pump storage, stands out as a capital-intensive space. ONGC's substantial financial strength makes it uniquely positioned to delve into this area.

While ONGC aims for net-zero emissions by 2038, it currently boasts 36.52 MW of installed solar capacity and 153 MW of wind capacity. The company produced 44.42 million units and 204.8 million units of solar and wind energy, respectively, in FY23.

ONGC's focus on energy storage aligns with evolving policy frameworks, including guidelines for pumped-storage projects and funding schemes for battery energy storage systems. As ONGC pursues its green transition, energy storage technologies emerge as vital components of the journey.