NTPC Vidyut Vyapar Nigam (NVVN) has floated a tender for setting up 500 MW/1000 MWh standalone battery energy storage systems (BESS) with Viability Gap Funding (VGF) support.

The last date for the submission of bids is September 17, 2024.

Bidders must pay ₹22,500 ($268) as the tender document fee and ₹1.5 million (~$17,867) plus 18% GST for the total project capacity they quote.

An earnest money deposit of ₹730,000 (~$8,695)/MW per project must be submitted as a bank guarantee. Selected bidders must provide a performance bank guarantee of ₹18,25,000/MW before signing the agreement.

Projects chosen will be eligible for Central Financial Assistance through VGF.

The VGF is designated for a total BESS capacity of 4,000 MWh and will be awarded in multiple phases, with this RfS representing the first phase.

The BESS must be made available to NVVN for on-demand charging and discharging.

The setup and interconnection of the BESS with the ISTS network is the responsibility of the BESS developer. The tender does not specify the technology for the battery storage system as long as it meets the BESS definition and performance criteria.

Selection will be made through an e-bidding process followed by an e-reverse auction for a total capacity of 500 MW/1000 MWh. The minimum bid size is 100 MWh (50 MW x 2 hours).

The 500/1000 MWh project capacity will connect to one of the following ISTS substations:

• 765kV Bhadla-111 PS, Rajasthan (anticipated by March ’25 with a 220kV bay to be developed)
• 400kV Banaskantha (Radhanesda) PS (GIS), Gujarat (existing substation with a 220kV bay to be developed)

If the developer plans to set up multiple projects, each must be distinguishable with separate injection points, control systems, and metering arrangements.

The developer is responsible for all construction costs from the project up to the interconnection point, including transmission lines, maintenance, and all costs to the delivery point.

Maintenance of the transmission system up to the interconnection point is also the developer’s responsibility.

The tender aims to support commercially established and operational technologies to minimize risk and ensure timely project commissioning.

Bidders must have a net worth equal to or greater than ₹7.3 million (~$86,955)/MW of quoted capacity (₹3.65 million (~$43,477)/MWh) as of the last day of the preceding financial year.

For example, a project capacity of 200 MWh (100 MW x 2 hours) requires a net worth of ₹7.3 million (~$86,955) x100 MW = ₹730 million (~$8.6 million).

A minimum annual turnover of ₹24.3 million (~$289,459)/MW of quoted capacity (₹12.1 million (~$144,136) per MWh) is required for the financial year.

In July, NVVN invited bids to develop ground-mounted and rooftop solar photovoltaic projects with a total capacity of 12.82 MW across multiple locations in India.

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