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Energy Storage in India
Resource Details

Operational Guidelines for State Component under the scheme for Viability Gap Funding for development of Battery Energy Storage System, 2024

Publication Year: 2024

Policy Type : National Policy

Policy Highlight :

  • Financial Support: Provides VGF of up to 40% of project capital cost, subject to applicable cost limits.
  • Capacity Target: Initially aimed to develop 4,000 MWh of BESS, supporting broader national storage goals.
  • Implementation: Projects are awarded through transparent competitive bidding by DISCOMs or designated implementing agencies.
  • Grid & Land: Allows connectivity through intra-state or inter-state transmission networks, with responsibilities defined in RfS documents.
  • Quality Standards: Mandates new, non-refurbished battery cells to ensure safety, performance and durability.
  • Oversight: Implementation is monitored by the CEA under the Ministry of Power.

Abstract:

The document outlines the Government of India’s operational guidelines for the State Component under the Viability Gap Funding (VGF) scheme for Battery Energy Storage Systems (BESS). It aims to support renewable energy integration by developing 5,000 MWh of BESS capacity across six states with financial assistance of Rs 1,350 crore. The guidelines designate NTPC and SECI as implementing agencies and define the framework for bidding, funding, and project execution.

Document Details

Country: India

Publisher/Organisation: India, Ministry of Power

Theme: Policy, Regulation, and Standards

Subtheme: National and State-Level Policies & Regulations

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