NVVN Issues Major Tender For 125 MW / 500 MWh BESS Project To Boost Grid Stability In Chhattisgarh

NTPC Vidyut Vyapar Nigam Limited, a fully owned subsidiary of NTPC Limited, has taken an important step in strengthening India’s growing renewable energy network by issuing a Request for Selection to procure a large Battery Energy Storage System for Chhattisgarh. The RfS, dated December 1, 2025, aims to support the country’s target of achieving 500 GW of renewable energy capacity by 2030. Battery-based storage is increasingly being viewed as essential to maintain grid reliability and smooth power supply as renewable energy grows rapidly across India.

This tender is being managed on behalf of the Chhattisgarh State Power Distribution Company Limited under a Tariff-Based Global Competitive Bidding framework. The project is backed by Viability Gap Funding from the Power System Development Fund, enabling competitive financial participation and ensuring that advanced energy storage becomes more affordable for the grid. The initiative marks a major development in integrating modern storage technologies into state-level power systems.

The project involves setting up a standalone battery storage system with a capacity of 125 MW and an energy storage capacity of 500 MWh. This complete allocation of 500 MWh has been granted to Chhattisgarh by the Ministry of Power, Government of India, under the national VGF scheme. The selected developer will construct and operate the project under a Build Own Operate model. The installation is planned to be located near the 220 kV Khedamara Substation in Durg district, part of the State Transmission Utility network.

The system has been designed to operate on a four-hour charge and four-hour discharge cycle. In cases of additional demand, occasional dual cycles may be used, subject to a maximum of 420 cycles in a year. The stored power will be used to support peak demand periods, shifting energy from off-peak hours to high-demand hours. This will allow CSPDCL to meet power needs more efficiently and help avoid sudden fluctuations that can affect grid stability. Charging energy for the system will be supplied directly by CSPDCL.

The selection will take place through a single-stage bidding process structured with two envelopes, followed by an e-Reverse Auction to ensure a highly competitive storage tariff. Bidders must quote for the entire storage capacity in a single bid. To ensure financial reliability and project seriousness, bidders must provide an Earnest Money Deposit of INR 8,80,000 per MW in the form of a Bank Guarantee. After selection, the winning bidder must submit a Performance Bank Guarantee of INR 22,00,000 per MW before the signing of the Battery Energy Storage Purchase Agreement with CSPDCL.

While the RfS is officially dated December 1, 2025, detailed schedules for the pre-bid meeting, the deadline for bid submission, and the opening of techno-commercial bids will be shared through the Notice Inviting Tender on the Bharat-ETS portal. The date for the e-Reverse Auction will be communicated separately by email to qualified participants.

This tender is expected to significantly strengthen the power supply network of Chhattisgarh, particularly as renewable energy grows in the region. Once completed, the battery storage system will play a critical role in balancing supply and demand, storing renewable power for later use, and ensuring a more reliable grid for consumers. It represents a meaningful step toward India’s clean energy future and improved electricity service for Chhattisgarh.