SECI auction discovers lowest tariff for 2 GW solar with 1 GW/4 GWh storage

The Solar Energy Corporation of India Ltd (SECI) has concluded a tender for 2 GW of solar PV projects paired with a 1 GW/4 GWh energy storage system (ESS), discovering a lowest tariff of Rs 2.86/kWh. Falling battery costs and competitive bidding, including participation from new entrants, contributed to the record low price.

Shivalaya Construction Ltd won 600 MW at Rs 2.86/kWh, followed by Purvah Green Power (300 MW), Welspun Renewable Energy (200 MW), MB Power (Madhya Pradesh) Ltd (150 MW), Banyan Insolation (100 MW), Stockwell Solar Services (80 MW), and LC Infra Projects (50 MW) at the same tariff. SAEL Industries (300 MW) and GH2 Solar (50 MW) secured the balance at Rs 2.87/kWh, with Navayuga Green Energy allocated the remaining capacity at this rate.

Under the tender, each 1 MW of solar capacity must be paired with at least 500 kW/2 MWh of storage. Projects can be set up across India and must connect to the Inter-State Transmission System (ISTS).

Pratik Prasun, deputy general manager at SECI, noted that competition in standalone BESS tenders appears to have influenced the Solar+Storage segment, welcoming several first-time awardees. India has now broken the Rs 3/kWh barrier for solar projects with 4-hour storage.