NLC India Invites EPC Bids for 250 MW/500 MWh BESS Project in Tamil Nadu with 2-Hour Storage

NLC India, on behalf of NLC India Renewables Ltd (NIRL), has issued an EPC tender to develop a 250 MW/500 MWh battery energy storage system (BESS), excluding the supply of power transformers. The project will be connected to TANTRANSCO substations located at Annupankulam, Ottapidaram, and Kayathar in Tamil Nadu. NLC India has sought bids for developing the project by January 30, 2026.

The tender also includes comprehensive operation and maintenance (O&M) for 12 years and will be developed as part of the power system to provide energy with a two-hour daily charge and discharge cycle. The bid shall be kept valid for acceptance for 180 days from the date of opening of the bid.

Scope of Work

NIRL requires the bidder to have executed in the last 10 years, an industrial project either as a developer or as an EPC contractor. Under the scope of work of this BESS project, the projects should be in the area of power, steel, oil and gas, petrochemical, fertilizer, cement, or coal mining, including coal handling plants and/or any other process industry, with a value of INR 140 crore or more as a single project or single work. The project must have been in successful operation for at least one year or six months before the date of techno-commercial bid opening.

Battery modules are required to incorporate lithium-ion cells utilizing either Lithium Ferro Phosphate (LFP) or Nickel-Manganese Cobalt (NMC) technology in an optimized arrangement, featuring integrated monitoring systems for tracking cell voltage, current flow, and temperature parameters.

NLCIL currently holds a total group's power generating capacity of 6,899 MW, including 1,599 MW of Renewable capacity. It has currently increased to 10,020 MW and renewable capacity from 1,599
MW to 10,110 MW. 

The project will be developed across four locations, including Annupankulam with a 230/110 kV substation, Kayathar with a 400/230–110 kV substation, and Ottapidaram with a 400/230 kV substation.

Previous BESS Projects in Tamil Nadu

Last year, Tamil Nadu Green Energy Corporation Ltd (TNGECL) awarded contracts for its 500 MW/1,000 MWh standalone Battery Energy Storage System (BESS) project to NLC India Renewables Ltd (NIRL), Bondada Engineering, and Oriana Power.  Among the winners, NLC India Renewables, a subsidiary of state-run NLC India Ltd (NLCIL), won the largest share — a 250 MW/500 MWh project at a tariff of ₹2,48,000 per MW per month.

On the other hand, Bondada Engineering secured a 200 MW/400 MWh project at ₹2,46,000/MW/month, while Oriana Power won a 50 MW/100 MWh project at the same tariff. NLC’s contract includes the development of three standalone BESS units — each at Ottapidaram, Anuppankulam, and Kayathar — connected to substations operating at 400/230/110 kV.

NIRL is widely expected to go for an IPO this year, based on its estabpished portfolio of captive and IPP projects.