Gensol Engineering Limited has bagged 250 MW/ 500 MWh standalone battery energy storage system (BESS) tender, Phase III, worth Rs 13.4 billion. Awarded by Indian state-owned utility Gujarat Urja Vikas Nigam Limited (GUVNL), the project will be developed by Gensol on the basis of build, own, and operate model.
The project will supply 250 MW/500 MWh energy for two charging and discharging cycles each day. The tender was issued in March 2024 and Gensol quoted a tariff of Rs 372,978 per month per MW to win the entire capacity.
In order to meet the needs of the state distribution companies during peak and off-peak hours, GUVNL aims to use energy storage systems on-demand basis. Gensol will be responsible for maintaining the transmission system till the interconnection point. The company will cover all of the costs associated with building the infrastructure from the project up to the interconnection point. It is required to ensure at least 95 per cent system availability per year.
The projects must be commissioned within 18 months from the effective date of the purchase agreement. In order to minimise technological uncertainties and, only commercially proven and operational technologies are allowed for implementation.
REGlobal’s Views: As renewable energy penetration increases in the grid, many Indian utilities are now opting to auction solar-wind hybrids, peak power renewables supply, round-the-clock renewables, and even standalone pumped and battery storage. This energy storage auction activity is expected to pick up as more Indian states follow suit and launch tenders to stabilise their grids.
