Solarworld Energy Solutions and H.G. Infra Engineering have won Gujarat Urja Vikas Nigam’s (GUVNL) auction to set up a 500 MW/1,000 MWh standalone battery energy storage systems (BESS) under tariff-based competitive bidding (Phase VI).

Solar World won 200 MW at a tariff of ₹280,000 (~$3,288.31)/MW/month, and H G Infra Engineering won 300 MW at a tariff of ₹285,600 (~$3,345.08)/MW/month.

The tender was floated in January this year.

The projects do not qualify for Viability Gap Funding (VGF).

Successful bidders will set up the BESS to make the energy storage facility available to GUVNL for charging/discharging the BESS on an on-demand basis.

Developers must set up the BESS and its interconnection with the state transmission network. The BESS projects must employ commercially established and operational technologies to minimize technology risks and achieve timely project commissioning.

Developers must make BESS available for two operational cycles per day. They should also guarantee a minimum system availability of 95% annually.

Developers must ensure that the BESS can charge and discharge at a C rate of 0.5. The BESS must be capable of being charged or discharged in groups ranging from 50 MW/100 MWh to 100 MW/200 MWh, up to the total rated capacity.

The BESS will be charged by drawing power from Gujarat Energy Transmission Corporation (GETCO) and injecting power into the GETCO network based on dispatch instructions issued by SLDC in consultation with GUVNL.

The successful bidders must guarantee AC to AC round-trip efficiency of 85% system monthly.

The developers must take a separate, metered connection for the auxiliary power load of BESS. They mustarrange a separate meter to measure auxiliary consumption, and the distribution company will bill it..

In October 2024, GUVNL issued a draft tender to set up projects of 200 MW/1,600 MWh standalone BESS under tariff-based competitive bidding (Phase V).

In March, the Ministry of Power directed all states and implementing agencies to award all BESS contracts by June 2025 to enable the VGF program to be completed by May 2027.