Government to Launch 30 GWh BESS Tender by August 2025 to Bolster Grid and Optimize Thermal Power.

In a significant push towards a more robust and reliable energy grid, India's Ministry of Power is aggressively moving forward with plans to establish large-scale solar and wind power capacities, bolstered by crucial battery energy storage systems (BESS) and pumped storage projects (PSPs).

This strategic initiative is primarily aimed at optimizing the utilization of existing thermal power capacities and strengthening the nation's grid infrastructure. By integrating BESS and PSPs, the Ministry seeks to ensure a consistent and economical electricity supply, particularly during non-solar hours when renewable generation is limited.

As part of this ambitious plan, the Ministry of Power is set to float a tender for 30 gigawatt-hour (GWh) of BESS capacity within the next three months, by August 2025. To support the viability of these projects, the government will provide a substantial Viability Gap Funding (VGF) of ₹5,400 crore, calculated at a rate of ₹18 lakh per megawatt-hour (MWh). This financial support is expected to attract significant investment and accelerate the deployment of much-needed energy storage solutions across the country.