SECI issues Battery Energy Storage Tender in Kerala to Boost Renewable Integration

The Solar Energy Corporation of India Limited (SECI) has released a Request for Selection (RfS) for the development of a 125 MW/500 MWh standalone Battery Energy Storage System (BESS) in Kerala. This project, under the Viability Gap Funding (VGF) mechanism, aims to integrate renewable energy effectively into the grid.

SECI, acting as an intermediary nodal agency, will manage the project under a Build-Own-Operate (BOO) model, with the battery energy storage designed for “on-demand” usage. The RfS specifies a two-bid system through a global competitive bidding process.

The bid submission deadline is by 4th February 2025. The estimated document fee is Rs 50,000 plus GST, and the bid processing fee is Rs 20,000 per MW, capped at Rs 20,00,000. The Earnest Money Deposit (EMD) is set at Rs 3,41,000 per MWh for each project, while the Performance Bank Guarantee (PBG) is mandatory.

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The project site is located at the Mylatti 220 kV Substation in Kasaragod, Kerala, with interconnection at 110 kV. SECI has planned the facility to support one operational cycle daily, with provisions for two cycles, ensuring flexibility for peak and off-peak demands.

Critical performance criteria are the operational efficiency and maintenance requirements, including a minimum AC-to-AC round-trip efficiency of 85%.

The timeline for project commissioning is 15 months from the signing of the Battery Energy Storage Purchase Agreement (BESPA), with allowances for part commissioning. In case of delays, liquidated damages proportional to the delay will be imposed, calculated based on the uncommissioned capacity and a per-day rate. The developer can pay these directly to SECI or through encashment of the PBG.

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The timeline for project commissioning is 15 months from the signing of the Battery Energy Storage Purchase Agreement (BESPA), with allowances for part commissioning. In case of delays, liquidated damages proportional to the delay will be imposed, calculated based on the uncommissioned capacity and a per-day rate. The developer can pay these directly to SECI or through encashment of the PBG.

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