UPERC Reviews NPCL’s 320 MWh BESS Procurement Plan, Seeks Subsidy Clarity from UPNEDA

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Uttar Pradesh Electricity Regulatory Commission has reviewed a petition filed by Noida Power Company Limited for procurement of power from four standalone Battery Energy Storage Systems (BESS) with a combined capacity of 80 MW/320 MWh in Greater Noida. The procurement is proposed for a 12-year period through tariff-based competitive bidding under the Ministry of Power guidelines.

The matter was heard on April 23, 2026, by UPERC Chairman Arvind Kumar and Member Sanjay Kumar Singh. During the hearing, the Commission reviewed its earlier directive issued on March 6, 2026, which asked NPCL to explore government subsidy options to reduce project costs and improve consumer affordability.

As part of that direction, NPCL was advised to consult Uttar Pradesh New and Renewable Energy Development Agency to assess the applicability of capital subsidies under the Uttar Pradesh Solar Policy 2022 for battery storage systems charged through inter-state solar power.

In its latest submission dated April 21, 2026, NPCL informed the Commission that it had approached UPNEDA regarding subsidy eligibility but had not received a formal response. The utility also submitted revised bidding documents along with details of amendments made to the tender structure.

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After reviewing the updated submissions, UPERC approved the proposed modifications to the bidding documents. The Commission has now impleaded UPNEDA as a party to the proceedings and directed the agency to submit an affidavit clarifying whether capital subsidies would apply to such standalone BESS projects under the current policy framework.

The matter remains under regulatory review as the Commission evaluates the cost-effectiveness of the project and its impact on consumers. The next hearing has been scheduled for May 26, 2026.

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