Telangana Power Generation Corporation (TGGENCO) has invited bids to set up a pilot project of 250 MW/500 MWh standalone battery energy storage systems (BESS) in Telangana.

Developers will be eligible for viability gap funding of ₹2.7 million (~$32,114)/MWh or 30% of the project’s capital cost, whichever is lower.

Bids must be submitted by February 21, 2025. Bids will be opened on February 25.

Bidders must submit a document fee of ₹29,500 (~$342) and a document processing fee of ₹10,000/MW (~$115.94).

They must also submit an earnest money deposit of ₹432,000 (~$5,011)/MW and a performance bank guarantee for ₹1.08 million (~$12,528)/MW.

The minimum bid size will be 100 MWh, i.e., 50 MW x 2 hours.

Developers must commission the BESS within 18 months of signing the battery energy storage purchase agreement, valid for 12 years from the date of full project commissioning.

They must set up the project using their chosen battery technology and connect it to the state transmission network.

The project will draw power from the state distribution companies (DISCOMs) for charging. It will supply power to the DISCOM network per the dispatch instructions from the state load despatch center. DISCOMs will provide the required charging power.

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

They must also guarantee an 85% monthly AC to AC roundtrip efficiency.

Successful bidders will receive the necessary land on lease on a right-to-use basis and with zero charges through a suitable agreement with TGGENCO.

They must employ commercially established and operational technologies to minimize technology risks and achieve timely project commissioning.

Bidders must have a minimum net worth of ₹4.32 million (~$50,118)/MW of the quoted capacity as of the end of the last financial year or seven days before the bid submission deadline.

Recently, NHPC issued a tender to develop 125 MW/500 MWh standalone BESS connected to the intrastate transmission system in Kerala (Tranche I).

Gujarat Urja Vikas Nigam has also invited bids to set up 500 MW/1000 MWh standalone BESS under tariff-based competitive bidding (Phase VI).