NewsUPERC Reviews NPCL’s 80 MW/320 MWh BESS Procurement Plan, Seeks Clarity On...

UPERC Reviews NPCL’s 80 MW/320 MWh BESS Procurement Plan, Seeks Clarity On Subsidy Support In Uttar Pradesh

The Uttar Pradesh Electricity Regulatory Commission (UPERC) recently held a hearing on Petition No. 2305 of 2025 filed by M/s Noida Power Company Limited (NPCL). The petition focuses on NPCL’s plan to procure power from four standalone Battery Energy Storage Systems (BESS) with a total capacity of 4×20 MW / 320 MWh. These projects are proposed to be set up at different locations in Greater Noida. The procurement will be carried out for a period of 12 years through a tariff-based competitive bidding process, as per the guidelines issued by the Ministry of Power.

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The hearing took place on April 23, 2026, and was led by Chairman Shri Arvind Kumar and Member Shri Sanjay Kumar Singh. During the proceedings, the Commission reviewed directions it had issued earlier on March 6, 2026. In that order, NPCL was asked to explore the possibility of availing government subsidies to reduce the overall cost of the project. The Commission had specifically advised NPCL to consult the Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) to check whether capital subsidies under the UP Solar Policy 2022 could be applied to battery storage systems charged using inter-state solar power.

In its latest submission dated April 21, 2026, NPCL informed the Commission that it had contacted UPNEDA regarding the matter. However, the company stated that it had not yet received any response from the agency about the availability of subsidies. Along with this update, NPCL also submitted revised bidding documents and provided details of the changes made in the tender.

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After reviewing the submissions, the Commission accepted the proposed modifications in the bidding documents. To address the issue of subsidy clarity, the Commission decided to include UPNEDA as a party in the case. The agency has now been directed to file an affidavit explaining whether capital subsidies will be applicable for such BESS projects under the current policy.

The matter is still under review as the Commission aims to ensure that the project remains cost-effective for consumers. The next hearing has been scheduled for May 26, 2026.


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