1. Home
  2. Blog
  3. UPSC

India’s largest Battery Energy Storage System (BESS)

Why is it in the news?

  • SECI (Solar Energy Corporation of India) has commissioned India’s largest Battery Energy Storage System (BESS) in Rajnandgaon, Chhattisgarh, with a capacity of 40 MW/120 MWh.

About BESS

  • BESS stores solar energy during peak generation hours and releases it during periods of high demand, enhancing grid stability and facilitating renewable energy integration.
  • Funded by the World Bank and Clean Technology Fund (CTF) under the Innovation in Solar Power & Hybrid Technologies (ISP&HT) Project.
  • BESS operates as an electrochemical device, collecting energy from the grid or power plants and discharging it when needed to provide electricity or other grid services.
  • It improves grid stability, reduces peak deficits, helps meet Renewable Purchase Obligations (mandated percentage of electricity from renewables), and lowers carbon emissions.

Initiatives to Promote BESS

  • BESS participation in the High Price Day Ahead Market (HP-DAM) segment of the Energy Exchange is permitted, allowing BESS operators to capitalize on high electricity prices during peak demand periods.
  • The Viability Gap Funding (VGF) scheme is introduced to support the development of 4,000 MWh of BESS projects by 2030-31, incentivizing investments in energy storage infrastructure.
  • Inter-State Transmission Charges on BESS Projects commissioned up to July 2025 are waived, reducing financial barriers and encouraging the deployment of BESS technologies across different states in India.
  • A National programme on Advanced Chemistry Cell (ACC) battery storage for Gigascale is established, aiming to foster research, development, and deployment of advanced battery technologies for large-scale energy storage applications.
  • Bidding Guidelines for BESS are formulated to streamline the procurement process and ensure transparency, efficiency, and fair competition among potential developers and operators of BESS projects.
Additional Information

·       Clean Technology Fund (CTF): Proposed in 2008, CTF aims to finance scaled-up deployment of low-carbon technologies in developing countries, with the World Bank serving as Trustee.

·       ISP&HT Project: The project aims to demonstrate the feasibility of utility-scale innovative renewable energy technologies and BESS, contributing to India’s sustainable energy transition.

 

Get free UPSC Updates straight to your inbox!

Discover more from AMIGOS IAS

Subscribe now to keep reading and get access to the full archive.

Continue reading