NHPC Ltd has called for proposals to set up standalone battery energy storage systems (BESS) as part of the intrastate transmission system (InSTS) in Kerala.
These systems will have a total storage capacity of 500 MWh (125 MW x 4 hours).
The goal is to use these energy storage systems on an ‘on-demand’ basis to meet the evening peak requirements of Kerala State Electricity Board Ltd (KSEB).
The BESS will operate with a single-cycle charging/discharging process.
Bidder Capacity Allocation
Bidders may apply for up to 500 MWh across four project locations. If a bidder applies for all locations, they may receive the entire capacity.
Viability Gap Funding (VGF) Scheme for BESS Developers
The Ministry of Power has nominated NHPC to act as a Battery Energy Storage System Implementing Agency (BIA). This is under the Viability Gap Funding (VGF) scheme.
The scheme supports the development of BESS projects by providing central financial assistance.
The authorities will require selected BESS developers to establish and operate the systems on a Build-Own-Operate (BOO) basis, making them eligible for VGF.
Battery Energy Storage Purchase Agreement (BESPA)
NHPC will enter into a Battery Energy Storage Purchase Agreement (BESPA) with the successful bidders. This agreement will govern the terms and conditions for the purchase and operation of the battery energy storage systems.
Eligibility Criteria for Projects
The tender document specifies that they cannot consider already commissioned projects.
As reported by pv-magazine-india.com, projects under construction or yet to be commissioned are eligible. However, they must not already be part of another central or state scheme.