Rajasthan completes 1 GW/2 GWh BESS auction under tariff-based bidding

Rajasthan Rajya Vidyut Utpadan Nigam Limited (RVUNL) concluded its auction for a 1,000 MW/2,000 MWh standalone Battery Energy Storage System (BESS) project, recording the lowest price for such systems in India. The tariff-based competitive bidding saw rates between Rs 1.775 lakh and Rs 1.785 lakh per MW per month. Eleven winners were selected.

Five companies quoting the lowest tariff became L1 bidders. Stockwell Solar led with 200 MW/400 MWh at Rs 1.775 lakh per MW per month. Oswal Cables secured 100 MW/200 MWh, and Micromax Informatics 50 MW/100 MWh at the same rate. Patanjali Renewables and RCRS Innovations also matched the lowest tariff with 100 MW/200 MWh and 50 MW/100 MWh, respectively. Galaxy Mining & Royalties, Manda Projects, and Mineralia Impex won projects at Rs 1.78 lakh per MW per month. Onward Solar and S T Electricals secured 100 MW/200 MWh and 50 MW/100 MWh at Rs 1.785 lakh, the highest discovered tariff.

The tender, issued in June 2025, follows a Build, Own, and Operate (BOO) model under global competitive bidding, supported by Viability Gap Funding (VGF) via the Power System Development Fund (PSDF). VGF will be disbursed in three phases: 20% at financial closure with a bank guarantee, 50% at commercial operation, and 30% after one year. Each BESS must complete two full charge-discharge cycles daily and maintain 95% minimum monthly availability.

The project will connect to the State Transmission Utility (STU), with RVUNL as the procurer.