Kochi: Kerala is all set to bring innovation to its electricity sector in the New Year. The state is stepping into the realm of battery-stored electricity with plans for a 125 MW Battery Energy Storage System (BESS). Solar Energy Corporation of India (SECI) has invited tenders for this project.

The BESS will be installed at locations designated by the Kerala State Electricity Board (KSEB). This revolutionary system allows electricity stored during the day to be utilised at night. Prominent players in this sector include Tata and Adani.

In the future, Kerala aims to adopt a model of using solar energy during the day, BESS-stored electricity at night and hydropower thereafter.

Currently, Kerala has an excess availability of electricity during daytime and a shortage at night. The introduction of BESS is expected to notably benefit the state. 

On an average, the state surrenders about 150 crore units of surplus electricity per year. This surrendered electricity incurs a fixed charge of approximately ₹4 per unit, amounting to an annual loss of around ₹600 crore. By storing this electricity in BESS, such losses can be avoided.

The state plans to gradually scale up the BESS capacity to 3,300 MW. Earlier, KSEB had invited tenders for a 10 MW BESS. However, there were no takers. This led to SECI taking charge of tendering as it was sure that 

The electricity stored in BESS can be used for up to four hours daily. From a 125 MW BESS, around 5 lakh units of electricity can be drawn each night. Payment to the operating company will depend on the duration of usage. In a recent tender in Gujarat, the cost for using 1 MW for two hours daily was set at ₹3.41 lakh per month.