In a groundbreaking development, IndiGrid, India’s pioneering infrastructure investment trust (InvIT) in the power sector, has been granted a Letter of Award (LOA) by BSES Rajdhani Power Limited (BRPL) for the creation of a 20 MW/40 MWh Battery Energy Storage System (BESS) in Delhi. This remarkable project is set to be realized under a Build, Own, Operate, and Transfer (BOOT) framework over a span of 12 years, established through tariff-based competitive bidding (TBCB).
One of the noteworthy highlights of this venture is the pivotal role played by the Global Energy Alliance for People and Planet (GEAPP). This alliance, comprising philanthropic organizations, governments, technology innovators, policy advocates, and financial partners, will provide a substantial 70% of the total capital investment for the project. GEAPP is committed to universal energy access and the transition to clean energy in pursuit of global climate goals. Among its anchor partners are influential entities such as the IKEA Foundation, Rockefeller Foundation, Bezos Earth Fund, and others.
GEAPP’s mission is ambitious, aiming to curtail a staggering 4 gigatons of future carbon emissions, extend clean energy access to one billion people, and facilitate the creation of 150 million new jobs.
The core applications envisioned for this project are energy time-shift (arbitrage) and ancillary services, which include frequency support, capacity enhancement, deferral, and resource adequacy. The project is slated for completion within a 12-month construction period.
Harsh Shah, the Chief Executive Officer of IndiGrid, expressed his enthusiasm by stating, “We are delighted to announce that IndiGrid has been awarded a Letter of Intent (LOI) / Letter of Award (LOA) for our inaugural BESS project. India has set a formidable target of achieving 600 GW of renewable energy capacity by 2031-32. Given the intermittent nature of renewable energy sources and the substantial expansion in capacity, the demand for energy storage solutions in the power sector is poised to surge.”
He further emphasized IndiGrid’s dedication to this venture, saying, “As a prominent player in the electricity infrastructure arena, with a focus on renewables and transmission, BESS projects have become one of our primary areas of interest. In recent years, we have laid the foundation to undertake BESS projects on a trial basis at our Dhule and Kallam Substations, thereby equipping us to embark on standalone BESS projects.”
India Grid Trust, sponsored by KKR & Sterlite Power, is an infrastructure investment trust in the Indian power sector. It was established on 21 October 2016 and registered with SEBI pursuant to the InvIT regulations. Its primary objective is to own power transmission and renewable assets.
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