Andhra Pradesh Launches Tender for 5 GWh of Standalone Battery Storage
The Andhra Pradesh Power Coordination Committee has invited bids to develop 1,250 MW/5,000 MWh of standalone battery energy storage across three locations in the state. The projects include 500 MW/2,000 MWh at Rayalaseema, 250 MW/1,000 MWh at Talaricheruvu and 500 MW/2,000 MWh at NP Kunta, to be built under a build-own-operate model through tariff-based competitive bidding. Bids are due by November 23, 2026, with at least 20 per cent local content required and commissioning timelines of 24 months for two projects and 18 months for Talaricheruvu.
The tender is issued by Andhra Pradesh’s power coordination committee for three state distribution companies. It covers 1,250 MW/5,000 MWh of standalone battery storage split among Rayalaseema, Talaricheruvu and NP Kunta, with developers responsible for construction, operation, maintenance, evacuation and grid interconnection.
Selected bidders will provide on-demand storage services to the discoms under 12-year agreements, following tariff-based competitive bidding. The solicitation requires at least 20% local content in BESS procurement, including energy management software, and sets commissioning windows of 24 months for two sites and 18 months for Talaricheruvu. Bids close November 23, 2026.
This procurement could expand Andhra Pradesh’s grid flexibility, helping integrate more renewable generation and potentially easing peak-time strain. Local content requirements may create opportunities for domestic battery and software suppliers, while developers face financial and technical eligibility thresholds. Electricity consumers could benefit if storage lowers system costs, though outcomes depend on bid prices, timely commissioning and effective use by discoms. Workers and communities near the three sites may see construction activity, but local benefits and disruptions would vary.