NGEL Wins NHPC’s 80 MW/320 MWh BESS Project In Kerala

NGEL Wins NHPC’s 80 MW/320 MWh BESS Project In Kerala

NTPC Green Energy Limited (NGEL) has successfully emerged as the winning bidder in the e-reverse auction conducted by NHPC Limited on May 21, 2025. NTPC renewable energy arm, NGEL secured a cumulative capacity of 80MW/320MWh under the competitive bidding process. NHPC issued this tender in February and declared the results in three months.

The auction was part of NHPC’s tender for the “Selection of Battery Energy Storage System (BESS) Developers for setting up of 125MW / 500MWh InSTS-connected standalone BESS in the state of Kerala under Tariff-Based Competitive Bidding (TBCB) with Viability Gap Funding (VGF) support.

NGEL secured two 40 MW/160MWh BESS projects—at Pothencode and Sreekantapuram substations—at tariffs of ₹4.57 lakh and ₹4.34 lakh per MW per month, respectively. The letter of award from NHPC is awaited. The tariffs are higher than the ₹4.41 lakh per MW per month discovered in SECI’s earlier Kerala tender, won by JSW.

About The Tender

NHPC battery energy storage system (BESS) tender in Kerala comes with viability gap funding (VGF) support (2024-25).  According to the NHPC tender it intends to set up InSTS-connected Projects of Standalone Battery Energy Storage Systems (BESS), for an aggregate storage capacity of 500 MWh (125 MW x 4 hrs) to meet evening peak requirements with single cycle charging/discharging operation of BESS with project to be located in the State of Kerala connected with the State Transmission Utility.”

Previous Tender: A Brief Comparison

The latest tender tariff rate is relatively higher than Gujarat Urja Vikas Nigam Ltd (GUVNL) 500MW/1000MWh Battery Energy Storage System (BESS) tender which allocated bids at tariffs ranging from ₹2.80 lakh to ₹2.85 lakh per MWh per month.

BESS Installs In Europe Grow 15% In 2024, Future Growth Expected To Jump

Also Read

As per the GUVNL tender results, these projects were awarded to Solarworld Energy Solutions Limited and HG Infra Engineering Ltd at tariffs ranging from ₹2.80 lakh to ₹2.85 lakh per MWh per month, which is lower than NHPC’s latest tender results.

Zelestra, Sungrow Sign Landmark BESS Deal for Chile Project

Also Read

According to the tender results, Solarworld Energy Solutions secured a 200MW project at ₹2,80,000/MWh/month, while HG Infra Engineering won a 300MW project at ₹2,85,600/MWh/month. The projects will be interconnected at a 66 kV level. Industry observers noted that the results mark a significant drop in BESS tariff discovery, indicating growing competition and maturity in the battery storage segment.