The Uttar Pradesh Electricity Regulatory Commission (UPERC) held a hearing on February 24, 2026, to examine a petition filed by Noida Power Company Limited (NPCL) seeking approval to procure power from a standalone Battery Energy Storage System (BESS) project in Greater Noida.
The proposed project will have a capacity of 80 MW / 320 MWh and is planned to be deployed across multiple locations in Greater Noida. According to the petition, NPCL intends to implement the project through a competitive bidding process under a 12-year contract.
The initiative is aimed at addressing the rising electricity demand and potential power shortages in NPCL’s licensed distribution area. Data presented during the hearing by the Central Electricity Authority (CEA) indicates that peak power deficits in Greater Noida are expected to increase significantly in the coming years. Current projections suggest a deficit of around 532 MW by the financial year 2027–28, which could grow to more than 1,500 MW by 2033–34 if demand continues to rise.
To support grid reliability and manage peak demand, NPCL has proposed deploying battery storage systems across key substations, including BZP, Jaun Samana, Tech-Zone IT City, and KP-5. The procurement plan has been divided into two separate tenders, each covering 40 MW / 160 MWh of storage capacity.
A key aspect of the proposal involves subsidy support under the Uttar Pradesh Solar Policy 2022. Under the policy, standalone battery storage systems that are exclusively charged using solar power are eligible for a capital subsidy of ₹2.50 crore per MW. NPCL initially proposed applying this subsidy only to the first tender, which involves solar-charged battery systems.
During the hearing, however, the Commission raised concerns regarding the potential economic benefits for consumers. UPERC members, including Chairman Arvind Kumar and Member Sanjay Kumar Singh, suggested that NPCL explore the possibility of applying the subsidy to both tenders rather than limiting it to one. The Commission also emphasized the need for bidders to have clarity on subsidy availability before the bidding process begins.
To address this matter, NPCL has been directed to consult with the Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA), the state’s nodal renewable energy agency. The discussions will focus on whether the subsidy could also be extended to battery storage systems charged through inter-state solar power sources.
During the proceedings, NPCL also acknowledged that certain clauses in its initial tender documents require revisions. The Commission has allowed the company to submit updated tender documents along with detailed explanations of any deviations from existing regulatory guidelines.
UPERC has granted NPCL 15 days to respond to the observations raised during the hearing. The case, registered as Petition No. 2305 of 2025, remains under review, with the next hearing scheduled for April 23, 2026, when the Commission will examine the revised proposal and subsidy-related clarifications.
