Haryana Issues Tender For Four 2.5MW/5 MWh Battery Energy Storage Projects To Strengthen Power Grid

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Representational image. Credit: Canva

Dakshin Haryana Bijli Vitran Nigam Limited has issued a Request for Selection to procure four new standalone battery energy storage systems, marking an important step in strengthening Haryanaโ€™s power grid. The tender, issued under RfS No. 7/DHBVNL/BESS/Phase I, is being carried out through a tariff-based competitive bidding process and will receive support from a central government Viability Gap Funding scheme. The project is designed to set up battery energy storage systems, each of 2.5 MW/5 MWh capacity, at 33 kV substations that fall under the jurisdiction of both Dakshin Haryana Bijli Vitran Nigam Limited and Uttar Haryana Bijli Vitran Nigam Limited.

The systems are being developed to provide energy storage for on-demand usage, which is seen as a key requirement as Haryana moves forward with its integration of renewable energy. Renewable power generation is known to be variable and often depends on weather conditions, which can create challenges in maintaining grid stability. By introducing battery storage, the state aims to provide a flexible and reliable grid system that can absorb excess energy and supply it when demand increases. Developers selected under this program will be required to build, own, and operate the projects under the Build Own Operate model. This means they will be fully responsible for the construction, ownership, operation, and long-term maintenance of these storage facilities.

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The tender document has clearly set out timelines and financial requirements for bidders. The official issue date of the Request for Selection is August 14, 2025. Those wishing to seek clarifications on the tender must submit their queries by June 19, 2025, no later than 5:00 PM. A pre-bid meeting has also been scheduled to take place in Hisar on June 20, 2025, at 11:00 AM. The final deadline for submission of bids will be communicated separately to registered bidders through the Notice Inviting Tender.

For participation, bidders will need to pay a non-refundable document cost and a processing fee. In addition, an Earnest Money Deposit of INR 48,00,000 has been made mandatory, to be submitted in the form of a bank guarantee. This requirement is intended to ensure only serious bidders come forward. Further, the developers who are selected will have to submit a Performance Bank Guarantee of INR 1.20 Crore for each project before signing the agreement. This guarantee will provide financial security to ensure that the projects are completed and operated successfully in line with the tender conditions.

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The selection process will be conducted through a two-envelope system, followed by an e-Reverse Auction among the qualified bidders. Interested developers are required to register themselves on the official tender portal to participate and to receive timely updates and notifications. The tender process also stresses that bidders must take full responsibility for keeping track of notices, clarifications, or any changes, as they will be published on the official websites.

To make the projects financially viable, support is being extended under the Viability Gap Funding scheme, with assistance of up to 30 percent of the capital cost. This provision is expected to make the projects more attractive for developers and reduce financial risks. The overall initiative is expected to strengthen Haryanaโ€™s electricity distribution network, enhance renewable energy integration, and contribute to the transition towards a cleaner and more sustainable energy mix in the state.


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