JSW, Reliance win 1 GW/2 GWh battery storage auction in India

JSW Neo Energy and Reliance Power have secured 500 MW battery storage contracts in an auction conducted by the Solar Energy Corporation of India (SECI). The auction, held on 11 September 2024, is part of SECI’s initiative to boost energy storage capabilities across India.

The two companies have won an equal capacity of 1 GWh. JSW Neo Energy quoted the lowest bid of INR 3.81000 lakh ($4542)/MW/month, setting one of the lowest tariff benchmarks for battery storage tenders at the high voltage 400 kV level in India. Reliance Power submitted a tariff bid of INR 3.81999 lakh ($4555)/MW/month, translating into $ 0.45 per W/h.

Under the provisions of the tender, which was floated in June, a single developer could bid for a minimum cumulative project capacity of 50 MW/100 MWh and maximum of 1,000 MW/2,000 MWh.

The winning developers will set up the battery energy storage systems on a build-own-operate basis at locations they select. Under the provisions, their battery storage projects can be charged with any energy source, which is not necessarily owned by the developer.

Following the announcement on Monday, Reliance’s shares surged 5%, trading at INR 31.32.