Prostarm Info Systems has won Karnataka Power Transmission Corporation’s (KPTCL) auction to set up a 150 MW/300 MWh standalone battery energy storage system (BESS) in the 400 kW Doni substation, Gadag in Karnataka.

The company won the entire capacity at a tariff of ₹254,000 (~$2,915)/MW/month, along with the state component for viability gap funding.

Under the VGF funding, Prostarm can receive ₹2.7 million (~$30,990.9)/MW or up to 30% of the capital cost, whichever is lower.

The tender was floated in June this year.

The project will be set up on a build-own-operate basis for 12 years.

In July 2025, Prostarm Info Systems was one of the winners of the Bihar State Power Generation Company’s auction to set up a standalone BESS of a cumulative capacity of 125 MW/500 MWh. It won 30 MW/120 MWh at a tariff of ₹444,000 (~$5,180.26)/MW/month.

In the same month, the company announced plans to establish a 1.2 GWh BESS manufacturing plant at the Reliance Model Economic Township in Jhajjar, Haryana. The facility would be developed at a cost of ₹250 million (~$2.9 million).

In April 2025, KPTCL awarded Sarala Project Works, Oriana Power, and Pace Digitek to set up 500 MW/1,000 MWh grid-connected standalone BESS to manage peak power demand.

Showcasing a growing demand for BESS, India installed over 341 MWh of BESS in 2024, marking an over sixfold increase from the 51 MWh installed in 2023, according to Mercom India Research’s India’s Energy Storage Landscape. With these additions, India’s total installed battery energy storage capacity stood at approximately 442 MWh as of December 2024.

According to the report, Karnataka led in cumulative BESS installations with 36% of the total capacity, followed by Chhattisgarh with 27% and Gujarat with 17% in terms of installed energy storage capacity.

In June 2025, the Ministry of Power announced the second tranche of VGF to support BESS development. Under this tranche, a VGF of ₹1.8 million (~$21,043)/MWh would be provided to support the development of 30 GWh of BESS capacity. The funding will be sourced from the power system development fund with a total financial outlay of ₹54 billion (~$631.30 million).