The Rajasthan Electricity Regulatory Commission (RERC) has released a draft of the new Battery Energy Storage Systems (BESS) Regulations, 2025, marking an important step towards modernizing the state’s power infrastructure. The draft aims to establish a structured framework for the deployment, operation, and use of energy storage technologies across Rajasthan. The Commission has invited comments and suggestions from all stakeholders, with the deadline for submission set for November 14, 2025.
The draft regulations recognize Battery Energy Storage Systems as a critical component of the modern electricity ecosystem. By storing energy when supply exceeds demand and releasing it when needed, BESS can help integrate higher levels of renewable energy, such as solar power, into the grid. They are also expected to play a key role in enhancing grid stability, reducing power fluctuations, and ensuring a reliable electricity supply. The proposed regulations align with the Government of India’s national guidelines for BESS procurement and the state’s Rajasthan Integrated Clean Energy Policy, 2024.
Under the proposed framework, Battery Energy Storage Systems can be developed and owned by a range of entities, including Distribution Licensees (DISCOMs), Transmission Licensees, power generating companies (GENCOS), as well as individual consumers and third-party developers. The flexibility in ownership is intended to encourage wider participation and investment in storage technologies. BESS installations may be co-located with renewable or conventional power plants, connected directly to the grid, or set up behind a consumer’s meter to support energy needs at the household or business level.
A significant feature of the draft regulations is the provision that allows BESS to participate in the electricity market. They will be able to provide crucial grid support services—known as ancillary services—such as voltage control, frequency regulation, and peak load management. The regulations also permit consumers and prosumers with behind-the-meter storage systems to engage in energy arbitrage, meaning they can purchase electricity during off-peak hours when rates are low and sell it back to the grid during high-demand periods, thereby improving economic efficiency and encouraging greater consumer participation.
The draft emphasizes transparency and competitiveness in BESS procurement. Any acquisition of storage capacity or services by Licensees must be conducted through a tariff-based competitive bidding process. This approach is aimed at ensuring fair pricing and promoting cost-effective energy solutions for the state. Another key clarification relates to renewable energy usage: electricity from renewable sources used to charge a BESS will retain its renewable status when discharged. This provision ensures that utilities and consumers can continue to claim renewable energy benefits even when using stored power.
From a technical perspective, the draft mandates that all BESS installations comply with safety, cybersecurity, and environmental standards established by national authorities. Consumers are allowed to set up storage systems up to their contract demand, but must register their installations with their respective Distribution Licensee. The draft also outlines the role of Aggregators, who can pool together multiple small-scale BESS units to provide larger-scale grid services, thereby improving system efficiency. The State Load Despatch Centre (SLDC) will oversee the planning and monitoring of BESS operations, particularly in delivering ancillary services and ensuring performance standards are maintained.
The proposed BESS regulations by RERC represent a forward-looking policy designed to make Rajasthan a leader in renewable energy integration and grid modernization. By encouraging participation from utilities, private developers, and consumers alike, the state aims to build a more flexible, sustainable, and resilient energy system for the future.
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