IndiGrid wins its first Battery Energy Storage System Project

Key Highlights

· BESS project capacity will be 20 MW/40 MWh tendered by BSES Rajdhani Power Limited (BRPL)

· Project debt will be funded by Global Energy Alliance for People and Planet (GEAPP)

· Primary applications envisaged for the project are energy time-shift and ancillary services.

· The project will be on BOOT basis with 12 years of concession period

Mumbai, Wednesday, October 25, 2023: IndiGrid [BSE: 540565 | NSE: INDIGRID], India’s first power sector InvIT, has received the Letter of Intent (LOI) / Letter of Award (LOA) from BSES Rajdhani Power Limited (“BRPL”) to Design, Supply, Testing, Installation, Commissioning, Operation and Maintenance of 20 MW/ 40 MWh BESS in Delhi. This project is envisaged on build, own, operate and transfer (“BOOT”) basis for a period of 12 years through tariff based competitive bidding (“TBCB”).

Global Energy Alliance for People and Planet (GEAPP) will be providing debt financing for 70% of the total capital investment for this project. GEAPP is an alliance of philanthropy, governments, technology, policy, and financing partners with the objective of universal energy access and shift to clean energy to achieve the global critical climate goals. The anchor partners of GEAPP are IKEA Foundation, Rockefeller Foundation, Bezos Earth Fund and others. This alliance aims to reduce 4 gigatons of future carbon emissions, expand clean energy access to one billion people, and enable 150 million new jobs.

The project involves Design, Supply, Testing, Installation, Commissioning, Operation and Maintenance of 20 MW/ 40 MWh BESS in Delhi. The primary applications envisaged for the project are Energy time-shift (arbitrage) and for ancillary services such as frequency support capacity upgrade deferral, resource adequacy. The project has a construction period of 12 months.

Commenting on the development, Mr. Harsh Shah, Chief Executive Officer, said: “We are very excited to announce that IndiGrid has received a Letter of Intent (LOI) / Letter of Award (LOA) for its first BESS Project. India has set ambitious goal of 600 GW of Renewable Energy by 2031-32. Given the intermittent nature of renewable energy sources and significant capacity expansion, energy storage requirements in the power system will exponentially grow. Being one of the leading electricity infrastructure players across renewable and transmission segments, BESS projects are one of the focus areas for IndiGrid. Over the last few years, we have, on a pilot basis, built capabilities to undertake BESS projects at our Dhule and Kallam Substations, thereby enabling us to undertake standalone BESS projects.

We are also happy to associate with Global Energy Alliance for People and Planet (GEAPP) and BSES Rajdhani Power Limited (BRPL) and believe that this initiative will propel the BESS landscape in India.”