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Energy Storage in India
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Guidelines for Tariff Based Competitive Bidding Process for Procurement of Firm and Dispatchable Power from Grid Connected Renewable Energy Power Projects with Energy Storage Systems, 2023

Publication Year: 2023

Policy Type : National Policy

Policy Highlight :

  • Objective: Enable DISCOMs to procure firm and dispatchable renewable power integrated with
  • Energy Storage Systems (ESS). Grid Reliability: Addresses RE intermittency and ensures power availability according to specified demand profiles.
  • Competitive Procurement: Mandates transparent, tariff-based competitive bidding under Section 63 of the Electricity Act, 2003.
  • RPO/Storage Compliance: Facilitates fulfilment of Renewable Purchase Obligations (RPO) and Storage Purchase Obligations (SPO) .
  • RE + ESS Integration: Developers must combine renewable generation with storage to meet required availability and dispatchability.
  • Single Tariff: Bidders quote a single tariff at the delivery point , with transmission-related costs up

Abstract:

The document outlines India’s guidelines for procuring firm and dispatchable renewable energy (FDRE) power projects integrated with energy storage systems through competitive bidding. It aims to ensure reliable, round-the-clock renewable electricity supply to DISCOMs while supporting grid stability and reducing dependence on fossil fuels. The policy promotes transparent tariff-based procurement, risk-sharing, and long-term power purchase agreements to encourage investment in renewable energy infrastructure. It also defines technical, contractual, and bidding frameworks for renewable generators, storage integration, tariff determination, and power delivery obligations.

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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