IndiGrid has announced that it received the Letter of Intent (LOI) from Gujarat Urja Vikas Nigam (GUVNL) to Design, Supply, Test, Install, Commission, Operate and Maintain a 180 MW/ 360 megawatt-hour (MWh) Battery Energy Storage System (BESS) in Gujarat.
The publicly listed power sector infrastructure investment trust (InvIT), said that the project is part of a larger 250 MW/ 500 MWh BESS, envisaged by GUVNL, to bolster the overall energy storage capacities of the state and provide renewable energy during both peak and off-peak hours.
As per the Power Ministry, ESS will be accorded status based on its application and location. IndiGrid added that since this project will be grid-connected and collocated in the GETCO substation, it will be classified as part of the transmission system.
The trust emerged as the second lowest bidder in the reverse auction process conducted by GUVNL, winning 180 MW/ 360 MWh by quoting a fixed tariff of ₹4,49,996 per MW per month, which translates to an annual tariff of over ₹97 crore.
The project is awarded through tariff-based competitive bidding (TBCB) mechanism and will be developed on a build, own, and operate (BOO) basis for 12 years. Further extension of the project is possible on a mutually agreeable basis.
IndiGrid CEO Harsh Shah said, “Over the last year, IndiGrid has made investments to strengthen its expertise in developing and managing BESS projects by undertaking pilot projects at our own sites. This is the second BESS win for us in the last 6 months – a great achievement for our entire team and a testament of our capability. We believe that the BESS landscape in India is slated to witness accelerated growth going forward and IndiGrid is positioned well to participate in this upswing.”