India has given the green light to its inaugural commercial standalone Battery Energy Storage System (BESS) project, a significant step in its journey towards sustainable and renewable energy. The Delhi Electricity Regulatory Commission (DERC) has granted regulatory clearance for a 20 MW/ 40 MWh BESS situated at the 33/11 kV Kilokari sub-station owned by BSES Rajdhani Power Ltd, the leading power distribution company in Delhi serving nearly 30 lakh consumers. This initiative will facilitate uninterrupted power supply round the clock for more than 12,000 low-income consumers.

The Kilokari project materialized through collaboration among three key entities: the Global Energy Alliance for People and Planet (GEAPP), which provided a concessional loan covering 70 percent of the project's total cost, alongside energy companies IndiGrid and BSES Rajdhani Power.

Saurabh Kumar, Vice President – India, GEAPP, commented on the development, "Through our concessional financing and strategic partnerships, we are driving innovation and sustainability in India's energy landscape".

The Kilokari BESS represents India's inaugural commercial standalone BESS project at the distribution level, poised to serve as a cornerstone in promoting the adoption of affordable Variable Renewable Energy (VRE). With certain regions of India experiencing VRE penetration rates surpassing 12 percent, there's a pressing demand for the integration of BESS projects into the nation's power distribution grid.

GEAPP aims to secure commitments for 1 GW of BESS in India by 2026, in line with the nation's goal of installing 47 GW of BESS capacity by 2032. Harsh Shah, CEO of IndiGrid, commented in a release, "BESS is a key focus area for us, recognizing its indispensable role in shaping the future of clean energy in India".

A spokesperson for BSES said: "The regulatory approval of the BRPL BESS project marks a significant milestone in our efforts to integrate renewable energy sources into the grid and enhance reliability for our consumers. This project exemplifies our commitment to embracing cutting-edge technologies to meet the evolving needs of our customers while advancing towards a cleaner, more sustainable energy future".

According to the agreement, BRPL will compensate the special project entity, Kilokari BESS Pvt Ltd, through a fixed-capacity tariff (in Indian Rupees per MW per month), based on availability rather than actual consumption. The SPV is owned by IndiGrid and Ampere-hour Energy.