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CPWD Tenders 2.3 MW of Solar Projects in Andhra Pradesh


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					</table><p>The Andhra Pradesh Electricity Regulatory Commission (<a href="https://aperc.gov.in/" target="_blank" rel="noopener">APERC</a>) has approved the battery energy storage sale agreements (BESSAs) and the associated battery energy storage purchase agreements (BESPAs) to procure 500 MW/1,000 MWh of battery energy storage capacity by the state’s distribution companies (DISCOMs).</p>
<p>The Commission also adopted the tariffs resulting from a competitive bidding process for a 12-year contract period.</p>
<p>However, APERC rejected NHPC’s proposed trading margin of ₹0.07 (~$0.0007)/kWh, directing that the margin be capped at 0.5% of the monthly capacity charges, as permitted under the <a href="https://powermin.gov.in/" target="_blank" rel="noopener">Ministry of Power</a>’s guidelines.</p>
<p><strong>Background </strong></p>
<p>The petition was filed by Eastern Power Distribution Company of Andhra Pradesh (<a href="https://www.apeasternpower.com/" target="_blank" rel="noopener">APEPDCL</a>), Southern Power Distribution Company of Andhra Pradesh (<a href="https://www.apspdcl.in/" target="_blank" rel="noopener">APSPDCL</a>), and Andhra Pradesh Central Power Distribution Corporation (<a href="https://www.apcpdcl.in/" target="_blank" rel="noopener">APCPDCL</a>), seeking approval to procure 500 MW/1,000 MWh of battery storage capacity.</p>
<p>The battery storage project is part of the Government of India’s program that offers viability gap funding (VGF) of up to 30% of the capital cost or ₹2.7 million (~$29,138)/MWh, aimed at promoting energy storage to facilitate the integration of renewable energy.</p>
<p>The tender was <a href="https://www.mercomindia.com/nhpc-1-gwh-bess-andhra-pradesh" target="_blank" rel="noopener">floated</a> in February last year.</p>
<p>NHPC <a href="https://www.mercomindia.com/acme-patel-infrastructure-win-nhpcs-1-gwh-battery-energy-storage-auction" target="_blank" rel="noopener">conducted</a> the e-reverse auction in June 2025. The selected developers were</p>
<ul>
<li>Patel Infrastructure for 225 MW/450 MWh at the Jammalamadugu substation with a tariff of ₹208,000 (~$2,244.76)/MW per month.</li>
<li>ACME Solar Holdings for 50 MW/100 MWh at the Kuppam substation with a tariff of ₹210,000 (~$2,266.34)/MW per month.</li>
<li>ACME Solar Holdings for 225 MW/450 MWh at the Ghani substation with a tariff of ₹222,000 (~$2,395.85)/MW per month.</li>
</ul>
<p>Concerns were raised by several stakeholders regarding tariff levels, transparency in the bidding process, the 12-year contract duration, and the ₹0.07 (~$0.0007)/kWh trading margin proposed for NHPC.</p>
<p>NHPC and ACME Solar stated that the tariffs were determined through a transparent, competitive bidding process compliant with the Ministry of Power guidelines and that battery storage is essential for integrating renewable energy and managing peak demand.</p>
<p>They emphasized that the discovered tariffs aligned with the prevailing market rates. The tender evaluation committee rigorously analysed the e-reverse auction price bids, benchmarking them against current market rates, and was satisfied with the validity of the respective L1 (lowest) tariffs.</p>
<p>NHPC argued that the ₹0.07 (~$0.0007)/kWh trading margin is uniformly applied across its renewable energy and battery storage projects and is compliant with the Ministry of Power&#8217;s guidelines.</p>
<p><strong>Commission’s Analysis </strong></p>
<p>APERC observed that Andhra Pradesh has a large renewable energy base, which creates grid management challenges due to the intermittency of solar and wind power. The Commission noted that solar generation peaks during the day when demand is lower, while demand surges in the evening, creating the so-called ‘duck curve’ problem.</p>
<p>The Commission stated that battery energy storage systems are critical for storing surplus renewable energy and releasing it during peak demand periods, thereby improving grid stability and reducing reliance on expensive short-term market purchases.</p>
<p>It added that by eliminating the distribution companies’ reliance on spot-market pricing during peak hours and preventing the curtailment of renewable energy, battery storage aligns with prevailing market economics and directly safeguards consumers&#8217; financial interests.</p>
<p>The Commission rejected claims that the procurement process lacked transparency, noting that the bidding was conducted transparently, with 17 companies participating, and that it was followed by a competitive reverse auction.</p>
<p>APERC noted that the projects secure VGF of up to 30% of the capital cost or ₹2.7 million (~$29,138)/MWh. It held that the DISCOMs were warned that failing to sign the BESSA would result in NHPC withdrawing the VGF allocation. If the DISCOMs scrap this tender to pursue lower CAPEX in 2026, they will likely lose the 30% of the central subsidy.</p>
<p>However, APERC found that NHPC’s proposed ₹0.07 (~$0.0007)/kWh trading margin was unjustified, as the battery storage arrangement is primarily a capacity-based service rather than energy trading.</p>
<p>It added that as this is a standalone battery storage project procured purely on a capacity basis, applying the ₹0.07 (~$0.0007)/kWh margin would result in an exorbitant and unjustified administrative fee compared to the 0.5% capacity option.</p>
<p>The Commission ruled that the margin should instead be limited to 0.5% of the capacity charges, which better reflects the administrative role performed by NHPC.</p>
<p>Recently, APERC <a href="https://www.mercomindia.com/andhra-issues-draft-resource-adequacy-framework-for-reliable-power-supply" target="_blank" rel="noopener">issued</a> a draft framework for resource adequacy planning to ensure that electricity demand in the state is met reliably while maintaining an optimal mix of generation resources.</p>
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Andhra Pradesh Regulator Approves 1 GWh Battery Storage Capacity Procurement


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					</table><p>The Maharashtra Electricity Regulatory Commission (<a href="https://merc.gov.in/" target="_blank" rel="noopener">MERC</a>) has approved Maharashtra State Electricity Distribution Company’s (<a href="https://www.mahadiscom.in/en/home/" target="_blank" rel="noopener">MSEDCL</a>) proposal to procure 2 GW/4 GWh battery energy storage capacity for 15 years, at a tariff of ₹165,998 (~$1,806)/MW per month.</p>
<p>The approved capacity will be allocated among seven successful bidders: <a href="https://mahati.com/" target="_blank" rel="noopener">Mahati Industries</a>, <a href="https://armeeinfotech.com/" target="_blank" rel="noopener">ArMee Infotech</a>, <a href="https://www.diwakarsolar.com/" target="_blank" rel="noopener">Diwakar Renewable &amp; Infra</a>, <a href="https://www.bhilwaraenergy.com/" target="_blank" rel="noopener">Bhilwara Energy</a>, <a href="https://www.opgpower.com/" target="_blank" rel="noopener">OPG Power Generation</a>, <a href="https://www.patanjaliayurved.net/" target="_blank" rel="noopener">Patanjali Ayurved</a>, and <a href="https://www.onwardsolar.in/" target="_blank" rel="noopener">Onward Solar Power</a>.</p>
<p>The Commission also directed MSEDCL to execute battery energy storage purchase agreements (BESPA) with the successful bidders within 15 days of the order.</p>
<p>The stored energy from these projects will count towards MSEDCL’s energy storage obligation (ESO) under the renewable purchase obligation (RPO) framework.</p>
<p>However, the tariff adoption remains subject to the outcome of a writ petition pending before the Bombay High Court filed by Onward Solar Power challenging the bidding process.</p>
<p><strong>Background </strong></p>
<p>MSEDCL filed a petition seeking approval of the tariff determined through competitive bidding for the procurement of 2 GW/4 GWh battery storage capacity to meet its increasing renewable energy integration needs and energy storage obligations.</p>
<p>The tender was <a href="https://www.mercomindia.com/maharashtra-floats-tender-for-2000-mw-4000-mwh-battery-energy-storage" target="_blank" rel="noopener">issued</a> in July last year, with viability gap funding (VGF) support of ₹1.8 million (~$19,593.9)/MWh. A total of 46 bidders participated, offering an aggregate capacity of 11.11 GW, indicating strong competition. The e-reverse auction conducted in November last year identified the lowest tariff of ₹165,998 (~$1,806)/MW per month.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/03/MERC-1.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-91689 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/03/MERC-1.png" alt="MERC Approves Tariff for Procurement of 4 GWh of Battery Storage Capacity" width="627" height="283" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/03/MERC-1.png 627w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/03/MERC-1-300x135.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/03/MERC-1-624x282.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/03/MERC-1-600x271.png 600w" sizes="auto, (max-width: 627px) 100vw, 627px" /></a></p>
<p>MSEDCL emphasized the need for large-scale battery storage installations given the intermittent nature of solar and wind energy. Since renewable generation depends on weather and seasonal conditions and does not align with peak and night-time demand patterns, firming support through energy storage is essential.</p>
<p>Contracting adequate storage capacity would enable MSEDCL to meet projected peak demand, reduce renewable curtailment, manage surplus solar energy, and ensure a reliable round-the-clock supply.</p>
<p>Several respondents raised concerns regarding the bidding process and tariff structure.</p>
<p>Onward Solar Power argued that although it emerged as an L2 bidder for 50 MW capacity and offered to match the L1 tariff, MSEDCL adopted a non-disclosed first-come, first-serve allocation mechanism, which it argued violated the ranking principles in the competitive bidding guidelines.</p>
<p>It also argued that the tariff adoption process should be kept in abeyance until the High Court decided its challenge.</p>
<p>Bhilwara Energy expressed interest in adding an additional 200 MW/400 MWh capacity. However, it received no response from MSEDCL. The company stated that although it initially offered to take an additional 200 MW capacity under the L1 matching process, it later withdrew this offer and confirmed that it could proceed only with its original 500 MW capacity.</p>
<p>OPG Power Generation also raised concerns regarding the tariff structure, stating that the tender provides for a fixed monthly capacity charge and does not envisage conversion to a per-unit (kWh) tariff, or any reduction in capacity charges due to permissible battery degradation, without a corresponding reduction in charges. It stated that the tariff should not be converted into a per-unit storage cost or reduced due to battery degradation.</p>
<p>Mahati Industries objected to a possible increase in lifecycle performance obligations from about 5,475 cycles to 6,300 cycles. The developer argued that the enhanced cycle requirement was introduced after tariff discovery and could alter the technical and financial assumptions underlying the bid.</p>
<p><strong>Commission’s Analysis </strong></p>
<p>MERC concluded that MSEDCL had conducted the procurement through a transparent and competitive process in accordance with Section 63 of the Electricity Act.</p>
<p>With respect to L1 matching disputes raised by Onward Solar, the Commission noted that MSEDCL subsequently agreed to allocate 100 MW of capacity to Onward Solar, thereby addressing the developer’s concerns.</p>
<p>Regarding the issuance of the letter of award (LoA), the Commission noted that the bidding guidelines require the issuance of LoA to successful bidders post conclusion of the bidding process. However, the non-issuance of LoA does not violate the bidding process.</p>
<p>However, in the future, MSEDCL should ensure that the procedural formalities envisaged in the bidding guidelines are complied with.</p>
<p>The Commission held that the discovered tariff of ₹165,998/MW per month was competitive compared with other recent battery storage tenders. For instance, tariffs in other states ranged between ₹177,000 (~$1926.7) and ₹254,000 (~$2,764.9)/MW per month, demonstrating that the discovered price reflected market competition.</p>
<p>It also accepted MSEDCL’s clarification that the ₹2.91 (~$0.032)/kWh figure mentioned in the petition was only an illustrative calculation, and the tariff sought for approval remained the fixed capacity charge in ₹/MW/month.</p>
<p>After Bhilwara Energy withdrew its additional 200 MW request, the capacity was redistributed among other bidders, including OPG Power and Onward Solar Power, while maintaining the total capacity at2 GW.</p>
<p>On the issue of increasing the lifecycle requirements to 6,300 cycles, the Commission observed that the original request for selection (RfS) required operation of one cycle per day over 15 years. It noted that the Ministry of Power’s letter, which permitted 6,300 cycles, required only that MSEDCL retain the right to utilise the battery up to that level and did not impose a mandatory obligation on developers.</p>
<p>MERC ruled that the RfS conditions remain unchanged and the single-cycle-per-day requirement continues to apply.</p>
<p>In March last year, MERC <a href="https://www.mercomindia.com/maharashtra-regulator-approves-tariff-battery-storage-capacity" target="_blank" rel="noopener">approved</a> MSEDCL’s petition to procure 250 MW/500 MWh battery storage capacity with an additional 500 MW/1,000 MWh greenshoe capacity at a tariff of ₹219,001 (~$2,560)/MW/month for 12 years.</p>
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MSEDCL Gets Approval to Procure 4 GWh Battery Storage Capacity


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					</table><p>The Gujarat Electricity Regulatory Commission (<a href="https://gercin.org/" target="_blank" rel="noopener">GERC</a>) has adopted tariffs in the range of ₹185,390 (~$2,034)/MW to ₹189,000 (~$2,074)/MW per month discovered under the competitive bidding process conducted by Gujarat Urja Vikas Nigam (<a href="https://www.guvnl.com/" target="_blank" rel="noopener">GUVNL</a>) for the procurement of power from 2 GW/4 GWh standalone battery energy storage systems (BESS) under Phase VII.</p>
<p>The Commission approved a total capacity of 1.665 GW/3.33 GWh in favour of the successful bidders.</p>
<p>The successful bidders are Sun Drops Energia, Engie Energy India, Mecpower Solutions, Samavist Energy Solutions, Stockwell Solar Services, Solar91 Cleantech, Viviana Power, Rajesh Power Services, and Ultimate Flexipack.</p>
<p>The Commission directed GUVNL to execute the battery energy storage purchase agreement (BESPA) with the successful bidders.</p>
<p><strong>Background </strong></p>
<p>GUVNL <a href="http://mercomindia.com/gujarat-floats-tender-for-2000-mw-4000-mwh-standalone-bess-project" target="_blank" rel="noopener">floated</a> a tender last July to procure power from 2 GW/4 GWh standalone battery energy storage systems under tariff-based global competitive bidding, with support for viability gap funding.</p>
<p>A total of 19 bidders, with an aggregate qualified capacity of 7.045 GW/14.090 GWh, participated in the e-reverse auction.</p>
<p>In the e-reverse auction, nine bidders were <a href="https://www.mercomindia.com/sun-drops-engie-among-winners-of-gujarat-discoms-4-gwh-bess-auction" target="_blank" rel="noopener">declared</a> successful for a capacity of 1.665 GW/3.33 GWh, and the discovered tariff ranged from ₹185,390 (~$2,034)/MW per month to ₹189,000 (~$2,074)/MW per month.</p>
<p>The Commission noted that GUVNL is purchasing power on behalf of four distribution licensees in the state.</p>
<p>Accordingly, GUVNL procures renewable power and storage capacity by entering into power purchase agreements and BESPA with various project developers and energy storage developers from time to time to fulfill its renewable purchase obligation.</p>
<p><strong>Commission’s Analysis </strong></p>
<p>The Commission noted that the bidding process was conducted through a competitive mechanism followed by an e-reverse auction.</p>
<p>GERC observed that GUVNL had complied with the technical requirements set by international and national standards.</p>
<p>Accordingly, the Commission decided to adopt the discovered tariff for 1.665 GW/3.33 GWh capacity under Phase VII.</p>
<p>It directed GUVNL to disclose the names of the successful bidders and the tariffs quoted by them on its website for 30 days.</p>
<p>In October last year, GERC <a href="https://www.mercomindia.com/gujarat-upholds-guvnls-annulling-gensols-500-mw-battery-storage-award" target="_blank" rel="noopener">upheld</a> GUVNL’s cancellation of both the base capacity of 250 MW/500 MWh and the additional greenshoe capacity of 250 MW/500 MWh awarded to Gensol Engineering to set up standalone battery energy storage systems.</p>
<p>Subscribe to Mercom’s real-time <a href="https://mercomindia.com/product/mercoms-renewable-energy-regulatory-updates/" target="_blank" rel="noopener">Regulatory Updates </a>to ensure you don’t miss any critical updates from the renewable industry.</p>


GERC Approves Tariffs for 1.665 GW/3.33 GWh Battery Storage Projects


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					</table><p><a href="https://ujvnl.uk.gov.in/" target="_blank" rel="noopener">UJVNL</a>, a Government of Uttarakhand undertaking, has floated two tenders to set up 15 MW/37.5 MWh standalone Battery Energy Storage Systems (BESS) each in the Udham Singh Nagar and Dehradun districts of Uttarakhand.</p>
<p>The first project will be set up in Khatima, in the district of Udham Sigh Nagar, and the second will be developed at Tiloth, in the Uttarkashi district.</p>
<p>The estimated cost of each project is ₹854.5 million (~$9.45 million).</p>
<p>The last date to submit bids for both tenders is February 25, 2026. Bids will be opened on February 28.</p>
<p>Bidders must submit an earnest money deposit of ₹7.5 million (~$82,918). Successful bidders must furnish a performance bank guarantee of ₹ 18.75 million (~$207,296).</p>
<p>UJVNL has proposed a ceiling tariff of ₹396,747 (~$4,386)/MW/month for both projects.</p>
<p>The Battery Energy Storage Purchase Agreement (BESPA) will be signed between UJVNL and the successful bidders within 30 days of issuance of the Letter of Acceptance (LoA) and will remain in effect for 12 years from the commercial operation date.</p>
<p>The BESS should be designed for interconnection with the nearest 33/11 kV substation of UJVNL at 33kV.</p>
<p>Bidders should be an original equipment manufacturer of containerized BESS, holding an Indian manufacturing license agreement with BESS manufacturers who have supplied a cumulative BESS capacity of at least 100 MWh, and with one reference project of at least 15 MWh capacity successfully commissioned.</p>
<p>Alternatively, bidders must meet at least one of the following criteria:</p>
<ul>
<li>They must be engineering, procurement, and construction (EPC) developers of battery energy storage systems (BESS) with at least one commissioned BESS plant of a minimum 20 MWh capacity.</li>
<li>EPC developers of renewable energy projects with a cumulative commissioned capacity of at least 45 MW.</li>
<li>EPC developers of a single renewable energy project of at least 15 MW capacity that has been commissioned and has been in operation for a minimum of six months</li>
<li>EPC developers for the design, engineering, and construction of substations with voltage levels ranging from 400 kV to 33 kV, with a cumulative project cost of at least ₹250 million (~$2.76 million) executed in the last seven years and in operation for at least the last two years.</li>
</ul>
<p>The net worth of bidders should be at least ₹7.4 million (~$81,813)/MW as on the last date of the previous financial year.</p>
<p>The energy scheduled for discharge in a given cycle during a year should be more than or equal to the minimum dispatchable energy capacity at the end of the year. Successful bidders should guarantee a minimum system availability of 95% on an annual basis.</p>
<p>Recently, UJVNL <a href="https://www.mercomindia.com/uttarakhand-invites-bids-for-30-mw-75-mwh-bess-at-dhakrani-hydel-project" target="_blank" rel="noopener">invited</a> bids for setting up a 30 MW/75 MWh standalone BESS at the Dhakrani Hydro Electric Project in Dehradun district.</p>
<p>Earlier, UJVNL had <a href="https://www.mercomindia.com/uttarakhand-invites-bids-for-17-25-mw-of-solar-projects" target="_blank" rel="noopener">floated</a> four tenders for setting up a cumulative 17.25 MW of ground-mounted grid-connected solar projects.</p>
<p>Subscribe to Mercom’s <a href="https://mercomindia.com/product/india-solar-tender-tracker/" target="_blank" rel="noopener">India Solar Tender Tracker </a>to stay on top of real-time tender activity.</p>


Uttarakhand Floats Tenders to Set Up Two 15 MW/37.5 MWh BESS Projects


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					</table><p><a href="https://www.kintechsynergy.com/" target="_blank" rel="noopener">Kintech Synergy</a>, <a href="https://www.hginfra.com/" target="_blank" rel="noopener">H.G Infra Engineering</a>, Bhilwara Energy (<a href="https://www.lnjbhilwara.com/" target="_blank" rel="noopener">LNJ Bhilwara Group</a>) and <a href="https://advaitgroup.co.in/" target="_blank" rel="noopener">Advait Infratech</a> have won Gujarat Urja Vikas Nigam’s (<a href="https://www.guvnl.com/" target="_blank" rel="noopener">GUVNL</a>) Phase IV standalone Battery Energy Storage Systems (BESS) auction.</p>
<p>The project was awarded following the introduction of Viability Gap Funding (VGF) support and an increase in capacity to 500 MW/1000 MWh.</p>
<p>The initial tender was <a href="https://www.mercomindia.com/gujarat-invites-bids-for-400-mw-800-mwh-standalone-bess/" target="_blank" rel="noopener">issued</a> for 400 MW/800 MWh with a greenshoe option of 400 MW/800 MWh. It was <a href="https://mercomindia.com/guvnl-battery-storage-tender-vgf/" target="_blank" rel="noopener">amended</a> in October 2024.</p>
<p>H.G Infra Engineering secured 250 MW with a quoted tariff of ₹225,985 (~$2670.59)/ MW per month</p>
<p>Kintech Synergy and Bhilwara Energy secured 100 MW each at a tariff of ₹225,985 (~$2670.59)/ MW per month and ₹225,993 (~$2670.68)/ MW per month respectively.</p>
<p>Advait Infratech secured 50 MW at a tariff of ₹226,000 (~$2670.76)/ MW per month.</p>
<p><img loading="lazy" decoding="async" class="aligncenter wp-image-73242 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE.png" alt="" width="795" height="301" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE.png 795w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE-300x114.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE-768x291.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE-650x246.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE-624x236.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/12/TABLE-600x227.png 600w" sizes="auto, (max-width: 795px) 100vw, 795px" /></p>
<p>&nbsp;</p>
<p>Under the revised tender, VGF is capped at ₹2.7 million (~$32,114)/MWh or 30% of the project’s capital cost, whichever is lower. Developers must submit a statutory auditor-certified certificate verifying the capital cost for the allocated project capacity within six months of the Commercial Operation Date (COD).</p>
<p>The VGF will be granted under the state component and allocated separately for each project based on the capacity outlined in the Battery Energy Storage Project Agreement (BESPA).</p>
<p>Disbursements will be milestone-based, divided into five tranches:</p>
<ul>
<li>10% at financial closure, upon submission of a bank guarantee</li>
<li>45% at COD</li>
<li>15% at the end of the first year after COD</li>
<li>15% at the end of the second year</li>
<li>15% at the end of the third year</li>
</ul>
<p>Each milestone must be certified by the Central Electricity Authority before GUVNL releases funds, which will only occur after receiving them from the Government of India and the developer providing a bank guarantee of ₹1.25 million (~$14,867)/MW/project.</p>
<p>If the developer fails to commission the project on time,  GUVNL can recover the disbursed VGF with interest at SBI-MCLR (1 Year) plus 5% from the disbursement date. For reduced capacity, recovery will be proportional.</p>
<p>If the BESPA is terminated within three years post-COD due to developer-related issues, GUVNL can recover pre-COD VGF disbursements with interest. In case of project transfer or sale, the new owner must issue a fresh bank guarantee.</p>
<p>Recently, the GUVNL had <a href="https://www.mercomindia.com/guvnl-issues-tender-to-procure-500-mw-of-solar-power-with-greenshoe-option" target="_blank" rel="noopener">invited</a> bids to purchase power from 500 MW of grid-connected solar power projects (Phase XXV), with a greenshoe option of an additional 500 MW.</p>
<p>In June 2024, Gensol Engineering <a href="https://www.mercomindia.com/gensol-guvnl-500-mwh-bess-auction" target="_blank" rel="noopener">won</a> GUVNL’s auction to set up pilot projects of 250 MW/500 MWh standalone BESS in Gujarat under tariff-based global competitive bidding (Phase III).</p>


Kintech, H.G Infra, Bhilwara and Advait Win GUVNL’s 500 MW/1000 MWh BESS Auction


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					</table><p><a href="https://www.gensol.in/" target="_blank" rel="noopener">Gensol Engineering</a> and IndiGrid 2 (<a href="https://www.indigrid.co.in/" target="_blank" rel="noopener">IndiGrid</a>) have won Gujarat Urja Vikas Nigam’s (<a href="https://www.guvnl.com/" target="_blank" rel="noopener">GUVNL</a>) auction to set up pilot projects of 250 MW/500 MWh standalone battery energy storage systems (BESS) in Gujarat under tariff-based global competitive bidding (Phase-II).</p>
<p>Gensol won 70 MW/140 MWh, quoting ₹448,996 (~$5,424)/MW/month, and IndiGrid won the remaining 180 MW/360 MWh, quoting ₹449,996 (~$5,436)/MW/month.</p>
<p>The tariff quoted in the auction was 58.43% lower than the ₹1.08 million (~$13,045)/MW/month <a href="https://www.mercomindia.com/jsw-renew-energy-wins-seci-tender-1gwh-bess" target="_blank" rel="noopener">quoted</a> by JSW Energy for the Solar Energy Corporation of India’s auction to set up 500 MW/1,000 MWh BESS projects in August 2022.</p>
<p>The other participants who failed to qualify in the financial bid opening are JSW Neo Energy, Hero Solar Energy, NTPC Renewable Energy, ACME Solar Holdings, SJVN Green Energy, and Vent Renewables.</p>
<p><img loading="lazy" decoding="async" class="aligncenter size-full wp-image-64094" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result.png" alt="GUVNL 500 MWh BESS Auction Result" width="807" height="223" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result.png 807w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result-300x83.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result-768x212.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result-650x180.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result-624x172.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/03/GUVNL-500-MWh-BESS-Auction-Result-600x166.png 600w" sizes="auto, (max-width: 807px) 100vw, 807px" /></p>
<p>GUVNL had <a href="https://www.mercomindia.com/guvnl-500-mwh-battery-energy-storage" target="_blank" rel="noopener">floated</a> the tender for projects in November 2023.</p>
<p>The projects must be developed under a build, own, and operate model. GUVNL seeks to utilize energy storage systems on an on-demand basis, suited to the requirements of the state distribution companies during peak and off-peak hours.</p>
<p>The projects must be completed within 18 months from the effective date of the battery energy storage purchase agreement (BESPA).</p>
<p>The power rating of the project capacity of 500 MWh (250 MW x 2 hours) BESS will be 250 MW, i.e., the maximum value of the active output and input power at the delivery point. The system’s energy rating of 500 MWh will be the dispatchable capacity measured at the metering point.</p>
<p>The BESS will be charged by drawing power from the <a href="https://www.getcogujarat.com/getco_newsite/index.php" target="_blank" rel="noopener">Gujarat Energy Transmission Corporation</a> network per the dispatch instructions issued by the state load despatch center. Charging and discharging of the system will be under the scope of GUVNL.</p>
<p>Gensol and IndiGrid will be responsible for the maintenance of the transmission system up to the interconnection point. They must also bear the entire infrastructure construction cost from the project up to the interconnection point. They must guarantee a minimum system availability of 95% annually.</p>
<p>The tender had specified that commercially established and operational technologies must be used in the project to minimize technology risks and comply with the codes and standards specified in the guidelines.</p>
<p>The companies have not specified the BESS technology that they will deploy.</p>
<p>In October last year, Uttar Pradesh Power Corporation <a href="https://www.mercomindia.com/tender-issued-for-five-bess-projects-in-uttar-pradesh" target="_blank" rel="noopener">issued</a> bids to set up five standalone BESS of 10 MW/40 MWh each in Uttar Pradesh.</p>


Gensol and IndiGrid Win GUVNL’s 500 MWh BESS Auction at Record-Low Tariffs


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					</table><p>Gujarat Urja Vikas Nigam Limited (<a href="https://www.guvnl.com/" target="_blank" rel="noopener">GUVNL</a>) has invited bids to set up pilot projects of 1 GWh (500 MW x 2 hours) standalone battery energy storage systems (BESS) in Gujarat for ‘on-demand usage’ under tariff-based competitive bidding (Phase-I).</p>
<p>The projects will be developed under a build, own, and operate model. GUVNL seeks to utilize energy storage systems on an “On-Demand” basis, suited to the requirements of the state distribution companies during the peak and off-peak hours.</p>
<p>The last date to submit the bids is September 15, 2022. Bids will be opened on September 22.</p>
<p>Bidders are required to submit a document fee of ₹29,500 (~$370.26) and a document processing fee of ₹1.5 million (~$18,826) plus 18% goods and services tax (GST) for the total project capacity quoted.</p>
<p>Bidders will have to submit ₹740,000 (~$9,310) per MW as an earnest money deposit. The successful bidder will have to furnish ₹1.11 million (~$13,966) per MW as a performance bank guarantee.</p>
<p>The minimum bid size swill be 80 MWh (40 MW x 2 hours).</p>
<p>GUVNL will enter into a battery energy storage purchase agreement (BESPA) with the successful bidders for providing an energy storage facility to GUVNL as per the terms, conditions, and provisions of the request for selection and BESPA.</p>
<p>The project must be completed within 18 months from the effective date of BESPA.</p>
<p>Further, the project developer should adopt commercially established and operational technologies to minimize technology risks and comply with the codes and standards specified in the guidelines.</p>
<p>The BESS will be charged by drawing power from the Gujarat Energy Transmission Corporation (GETCO) network per the dispatch instructions issued by the state load despatch center. Charging and discharging of the system will be under the scope of GUVNL.</p>
<p>The maintenance of the transmission system up to the interconnection point will be the project developer&#8217;s responsibility, to be undertaken entirely at their cost and expense. The project developer will bear the entire infrastructure construction cost from the project up to the interconnection point.</p>
<p>The power rating of the project capacity of 1000 MWh (500 MW x 2 hours) BESS will be 500 MW, i.e., the maximum value of the active output and input power at the delivery point. The system&#8217;s energy rating of 1,000 MWh will be the dispatchable capacity measured at the metering point.</p>
<p>The battery energy storage system developer must guarantee a minimum system availability of 95% on an annual basis.</p>
<p>GUVNL had proposed to promote only commercially established and operational technologies to minimize the technology risk and to achieve timely commissioning of the projects.</p>
<p>The net worth of the bidders should be equal to or greater than ₹7.4 million (~$93,109)/MW of the quoted capacity (in MW) as on the last date of the previous financial year or seven days prior to the bid submission deadline.</p>
<p>Any bidder from a country that shares a land border with India will be eligible to bid.</p>
<p>In April this year, NTPC Renewable Energy <a href="https://mercomindia.com/ntpc-tender-250-mw-500-mwh-battery-storage-rajasthan/" target="_blank" rel="noopener">issued</a> an invitation for bids for the design, engineering, manufacturing, supply, installation, and commissioning of a 250 MW/500 MWh grid-connected standalone BESS near Fatehgarh-III interstate transmission system (ISTS) substation in Rajasthan.</p>
<p>Earlier, the Solar Energy Corporation of India had <a href="https://mercomindia.com/seci-invites-bids-for-1-gwh-standalone-battery-energy-storage/" target="_blank" rel="noopener">issued</a> a request for selection to set up pilot projects of 500 MW/1000MWh standalone BESS under a build, own, operate, and transfer model.</p>
<p>Subscribe to Mercom&#8217;s <a href="https://mercomindia.com/product/india-solar-tender-tracker/" target="_blank" rel="noopener">India Solar Tender Tracker</a> for timely updates on all solar tenders issued by various agencies in India.</p>


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