TERI Invites Bids for 20 MW/40 MWh Battery Storage Project in Delhi

The last date for the submission of the bid is September 22, 2023

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The Energy and Research Institute (TERI) has invited bids to implement 20 MW/40 MWh battery energy storage systems (BESS) in Delhi for BSES Rajdhani Power (BRPL) under a tariff-based competitive bidding process.

BRPL has planned to deploy the BESS within their licensed area and appointed TERI to invite bids from prospective bidders.

The last date to submit the bid is September 22, 2023. Bids will be opened on September 29.

The scope of the work involves a site survey, planning, design, engineering, transportation to the site, insurance, supply, unloading, handling, testing, installation, integration, commissioning, and demonstration.

It also involves the operation and maintenance (O&M) of BESS for 12 years.

Bidders must submit an earnest money deposit (EMD) of ₹15 million (~$180,559).

The successful bidder must provide a performance bank guarantee (PBG) equivalent to 7.5% of the capital expenditure of the project cost.

The estimated period of the contract is from the signing of the Battery Energy Storage Service agreement (BESSA) until 12 years post-commercial operation date.

The bidder is required to contribute 30% of the project’s total capital investment as equity.

The developer has the option to collaborate with appropriate commercial investors to secure this investment. For the bidding process, it is assumed that the remaining 70% of the capital investment will be financed at a concessional rate of 1% of the cost of capital.

The Delhi Electricity Regulatory Commission (DERC) has provided an in-principal approval for the project.

BRPL has identified two potential project sites within their authorized zone in Delhi and will opt for one of these options for the final project.

To be eligible, bidders should have commissioned and/or have battery energy storage systems connected to the grid, with a minimum capacity of 1 MWh, either in India or globally, within the last five years from the date of bid opening.

They must possess a valid type test report for the battery conducted at the Central Power Research Institute (CPRI)/ Electrical Research and Development Association (ERDA) or an accredited international agency within the last five years.

If the type test reports are older than five years from the date of bid opening, bidders must provide an undertaking stating that there have been no design changes to the battery. Failure to submit the type test reports will result in the rejection of the bid. Type test reports older than ten years will not be acceptable.

The bidders’ net worth must be at least ₹350 million (~$4.2 million) as of the last day of the preceding financial year.

The selected developer will handle setting up the BESS, connecting it to the distribution grid at the project location, and maintaining it. They will also be responsible for charging and discharging the system according to the buying utility’s needs for the contracted capacity.

At the end of the BESSA term, the project will be transferred to the buying utility with specified energy throughput, following the BESSA provisions.

Recently, the Ministry of Power released a comprehensive framework to create an ecosystem for developing energy storage systems to guarantee affordable, clean, stable, flexible, and secure power.

In May, BSES Rajdhani partnered with energy storage and software company Sheru to develop a vehicle-to-grid station with a bidirectional battery swapping station to support BSES’ peak power demand.

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