Maharashtra State Electricity Distribution Company (MSEDCL) has issued a request for selection to set up pilot projects of 300 MW/ 600 MWh standalone battery energy storage systems in Maharashtra under tariff-based global competitive bidding.

The last date for submission of bids is August 26, 2024.

Bidders must pay a document fee of ₹29,500 (~$351.52). They must also furnish an earnest money deposit of ₹0.74 million (~$8,818) per MW.

Bidders selected by MSEDCL will also have to submit a performance bank guarantee for a value of ₹1.85 million (~$22,042)/MW.

The scope of work includes setting up a 600 MWh (300MW x 2 hrs) Battery Energy Storage System (BESS), with the primary objective of making the energy storage facility available to MSEDCL for charging/discharging the BESS on an “on-demand” basis.

The total project capacity will be located near substations of the MSEDCL network in Maharashtra. MSEDCL will allocate the land to the projects.

The minimum bid size is 100 MWh (50 MW x 2 hrs).

Only commercially established and operational technologies must be used in the project to minimize technology risk and achieve timely commissioning.

Bidders may indicate the selection of technology and its details at the time of submission of bids. The technology proposed when submitting the bid can be changed during financial closure.

MSEDCL will enter into a Battery Energy Storage Purchase Agreement with the successful bidders.

The net worth of the bidders should be equal to or more than ₹7.4 million (~$88.19 million)/MW of the quoted capacity.

If a consortium submits bids, the net worth to be met by each consortium member will be in proportion to the equity commitment made by each of them in the project company.

The successful bidders must guarantee a minimum system availability of 95% annually and pay liquidated damages for the shortfall, which will be twice the capacity charges for the capacity not made available.

MSEDCL had invited bids to procure 1,150 MW of long-term wind-solar hybrid power from grid-connected intrastate projects with an additional greenshoe option of up to 1,150 MW earlier this year.

The Maharashtra Electricity Regulatory Commission recently approved MSEDCL’s plea to procure 5,000 MW of solar and 1,600 MW of thermal power.