India's MSEDCL Issues Tender for 2,000 MW/4,000 MWh Battery Energy Storage
2026-07-04 11:27
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en.Wedoany.com Reported - The Maharashtra State Electricity Distribution Company Limited (MSEDCL) has officially issued a tender for the selection of battery energy storage system developers through price-based competitive bidding to develop 2,000 MW/4,000 MWh (1 cycle) of storage capacity. The project will be developed under a Build-Own-Operate model, and MSEDCL will sign a Battery Energy Storage Purchase Agreement (BESPA) with the selected bidders. Under the Ministry of Power's Viability Gap Funding scheme for battery energy storage systems, selected developers are eligible for a viability gap funding of up to INR 1.8 million per MWh.

According to the tender guidelines, the scope of work includes constructing storage projects at multiple MSEDCL substations, Maharashtra State Electricity Transmission Company Limited (MSETCL) substations, and central transmission utility substations. The selected developer will provide on-demand storage capacity to MSEDCL, with MSEDCL having the right to use at least 6,300 cycles of system capacity during the contract period without additional charges. The total capacity of 2,000 MW/4,000 MWh is evenly divided into Part A and Part B, each comprising 1,000 MW/2,000 MWh. Part A includes constructing storage projects at MSEDCL or MSETCL substations, while Part B involves developing 1,000 MW/2,000 MWh of storage capacity as co-located (interstate or intrastate) and standalone state transmission utility-connected projects. MSEDCL will provide charging energy, and the power will be fed into its network based on dispatch instructions issued under the BESPA.

Bidders are required to pay a non-refundable document fee of INR 29,500 and submit a bid security of INR 560,000 per MW in the form of an electronic bank guarantee. The successful bidder must also provide a performance bank guarantee of INR 1.4 million per MW before signing the BESPA. The bid submission deadline is July 22, 2026.

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