Kundan Green Energy secures LOI for 10 MW/40 MWh BESS project in Bihar

The Battery Energy Storage System (BESS) project has been granted to Kundan Green Energy through a competitive tariff-based reverse auction process, reaffirming its commitment to providing cheap and clean energy.

Kundan Green Energy has received a Letter of Intent (LOI) from Bihar State Power Generation Company Limited (BSPGCL) for setting up a 10 MW / 40 MWh stand-alone BESS project at the Bettiah Grid Substation, Motihari in Champaran District of Bihar.

This project is critical for the state’s next step toward a robust, efficient and clean energy grid. The BESS will allow four hours of discharge within one daily cycle, permitting the balancing of user-end electricity needs and grid-level operations. 

The BESS project has been granted to Kundan Green Energy through a competitive tariff-based reverse auction process reaffirming its commitment to providing cheap and clean energy. The project provides a monthly tariff of ₹4,44,000 / MW and VGF is stipulated at ₹27,00,000 / MWh leading to a financially viable long-term proposition. During the 12-year operational period the project is expected to generate gross revenues of around ₹64 crore. The signing of the Battery Energy Storage Purchase Agreement (BESPA) is the next major step in the project, expected by July 2025.

Udit Garg, Managing Director & CEO, Kundan Green Energy, said, “We are honoured to be collaborating with Bihar State Power Generation Company on this ground-breaking Battery Energy Storage System project. This is an important step in augmenting Bihar’s power infrastructure and allowing better access to renewable energy. At Kundan Green energy, we continue to provide innovative and sustainable energy solutions that solve not just for grid reliability, but for enabling the consumer to have cleaner, more reliable power. This initiative is a testimony of our commitment to fast-tracking India’s energy transitions, leveraging technology and full execution.”