Telangana Power Generation Corporation (TGGENCO) has floated a tender for establishing 375 MW/1,500 MWh standalone battery energy storage systems (BESS). According to the tender guidelines, the first project with a capacity of 187.5 MW/750 MWh will be connected to the 400/220 kV Maheswaram substation. Furthermore, the other project with the same capacity will be connected to the 400/220 kV Choutuppal substation. The projects will be granted land on a right-to-use basis at an annual lease rate of Rs 1 per acre per year.
Additionally, the projects will be granted viability grant funding (VGF) of Rs 1.8 million per MWh of the awarded capacity. The VGF will be released in three stages, with 20 per cent disbursed at financial closure. A further 50 per cent will be provided at the commercial operation date (COD), and the remaining 30 per cent a year after COD upon certification.
Further, according to the tender guidelines, the bidders are required to submit a document processing fee of Rs 1 million per project. The shortlisted bidders are required to submit a performance bank guarantee of Rs 1.25 million per MW of the allotted capacity before inking the battery energy storage purchase agreement.
Earlier in January 2025, TGGENCO issued a tender to develop a pilot project for a standalone BESS with a capacity of 250 MW/500 MWh in Telangana.
