In a landmark move, RVUNL (Rajasthan Rajya Vidyut Utpadan Nigam Limited) has awarded its first 1 GW/2 GWh standalone battery energy storage system (BESS) tender under the second VGF scheme. Eleven bidders won capacity at tariffs between ₹1.775 and ₹1.785 lakh/MW/month, setting a new benchmark in India’s storage sector.
Rajasthan’s power generation arm, RVUNL, has completed the auction for its 1,000 MW/2,000 MWh (i.e., 1 GW/2 GWh) standalone BESS tender, under a Viability Gap Funding (VGF) scheme.
The lowest tariff discovered was ₹1.775lakh/MW/month, with upper winning bids going up to ₹1.785 lakh.
This new rate is approximately 15% lower than the earlier benchmarks—a sharp drop, signaling intensifying competition and greater confidence in battery storage economics.
Tender Highlights & Context
- The tender witnessed deep competition, drawing 50 bidders.
- The procurement seeks a single-cycle 4-hour configuration (i.e., 500 MW × 4 h across multiple sites).
- The project is connected to 220 kV substations, and the cost of land is under the developer’s scope.
- VGF support under this tranche is ₹18 lakh/MWh, lower by ₹9 lakh/MWh relative to earlier models.
Awarded Bidders & Allocations
Below is the list of 11 winning companies, their allocated capacities, and tariffs:
No. Company/Entity Tariff (₹/MW/month) Capacity Allocated Energy (MWh)
| No. | Company/Entity | Tariff (₹) | Capacity Allocated | Energy (MWh) |
| 1 | Stockwell Solar Services Pvt Ltd | 1.775 lakh | 200 MW | 400 MWh |
| 2 | Oswal Cables | 1.775 lakh | 100 MW | 200 MWh |
| 3 | Micromax Informatics Ltd | 1.775 lakh | 50 MW | 100 MWh |
| 4 | Patanjali Renewable Energy Pvt Ltd | 1.775 lakh | 100 MW | 200 MWh |
| 5 | RCRS Innovations Limited | 1.775 lakh | 50 MW | 100 MWh |
| 6 | Viviana Power Tech Ltd | 1.78 lakh | 100 MW | 200 MWh |
| 7 | Galaxy Mining & Royalties | 1.78 lakh | 100 MW | 200 MWh |
| 8 | The Manda Projects Ltd | 1.78 lakh | 100 MW | 200 MWh |
| 9 | Mineralia Impex | 1.78 lakh | 50 MW | 100 MWh |
| 10 | Onward Solar Power | 1.785 lakh | 100 MW | 200 MWh |
| 11 | ST Electricals | 1.785 lakh | 50 MW | 100h |
Total = 1,000 MW / 2,000 MWh across all winners.
Significance & Next Steps
- Benchmark reset: The bid establishes a new low tariff benchmark for large-scale standalone BESS in India.
- Implementation focus: The real test now lies in executing projects at scale and meeting performance guarantees (e.g., 95% monthly availability, round-trip efficiency).
- Expanding portfolios: Reports say about 33 companies now hold standalone BESS projects, with new entrants among the winners.
- VGF and market design: The reduced VGF and developer-borne land costs reflect maturing market assumptions.
Electrify your feed! Click here to join our Whatsapp group and to get the latest updates, expert insights, and innovations driving India’s energy storage revolution.
