NHPC Limited has issued a tender to establish standalone battery energy storage systems (BESS) with an aggregate capacity of 500 MWh (125 MW with a 4 hour duration) in Kerala. The projects, connected to the intrastate transmission system (ISTS), will operate on a build-own-operate basis and aim to support the evening peak power requirements of the Kerala State Electricity Board Limited. The BESS will function with a single-cycle charging and discharging operation.
The total allocation for a single bidder can go up to 500 MWh if they opt to develop all four project locations. NHPC, designated as a Battery Energy Storage Systems Implementing Agency (BIA) by the Ministry of Power, is facilitating the projects under the Viability Gap Funding (VGF) scheme. Developers selected through this process will be eligible for central financial assistance in the form of viability gap funding. NHPC will enter into a battery energy storage purchase agreement with the successful bidders.
In December 2024, SECI issued a tender to establish a 125 MW/500 MWh standalone BESS in Kerala under the VGF mechanism. The project will follow a build-own-operate model and is being offered through tariff-based global competitive bidding, with the bid submission deadline being February 2, 2025.
