UPPCL Issues Standalone BESS Tender For 300MW/1200MWh

A 15% Dip In BESS Costs Can Halt New Coal Power Growth: EMBER

Uttar Pradesh Power Corporation Limited (UPPCL) has now issued a tender for a standalone Battery Energy Storage System (BESS) project. The state power company has planned to develop 300 MW/1200Mwh of BESS project through this tender.

The UPPCL tender document said that the project will be developed on Build-Own-Operate-Transfer (BOOT) basis. The company wants to use the stored power for their own operations. 

“UPPCL has decided to utilize energy storage systems, on a “On-Demand” basis, suited to its requirements during the peak and off-peak hours. In view of the above, UPPCL hereby wishes to invite proposals for setting up of Standalone Battery Energy Storage System (BESS), for a storage capacity of 1200 MWh (300 MW x 4 hrs). UPPCL shall enter into a Battery Energy Storage Purchase Agreement(s) (BESPA(s) with the successful Bidders selected based on this RfS, for providing Energy Storage facility to UPPCL, ” the tender read.

The Bidders will be free to avail fiscal incentives like Accelerated Depreciation, Concessional Customs and Excise Duties, Tax Holidays etc. available if any for such Projects. The tender has been issued for commissioning and operating it for 12 years. After this period, the tender said that the developers need to transfer the assets to UPPCL. 

Scope of work

UPPCL said that the primary scope of work under this tender would be the setting up of BESS for making the energy storage facility available for UPPCL for charging/discharging of the BESS on a demand basis. The state utility said that setting up of the BESS and its interconnection with the ISTS network will be under the scope of BESS developers (BESSD). 

The tender terms also allow the BESS developers to charge these BESS even with thermal power. “The BESS may be charged by any source of energy (“BESS charging source”), including conventional energy sources. Ownership of such energy source is not mandatory to be held by the BESSD. For the capacity under contract, Charging and discharging of the system will be under the scope of the UPPCL,” it said.