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Assam Notifies Game-Changing BESS Regulation, Enabling 500 MWh Storage Capacity

The Assam Electricity Regulatory Commission (AERC) has officially released its Battery Energy Storage System (BESS) regulation via Gazette notification, enabling 500 MWh of grid-connected storage — a major step forward that could displace three times the thermal power capacity. This regulation is considered one of the most forward-thinking at the state level in India. It was developed over 1.5 years with technical support from RTI International and funding from USAID. A key contributor worked closely with Ajit Sir, former Executive Director of NTPC, to draft this regulation from the ground up.

Unlike most Indian BESS plans that focus on Inter-State Transmission System (ISTS) locations, this regulation is designed with substation-level, location-specific energy capacity planning, reducing unnecessary costs. The team replaced a prior consultant that lacked a deep understanding of BESS dynamics like state of charge (SOC) and charge-discharge cycles. A detailed tariff framework (INR/MW/month) was created, along with justification for an 85% round-trip efficiency standard, despite pushback from developers aiming for lower thresholds.

Next steps include launching pilot projects and integrating BESS at the SLDC level to create virtual power plants (VPPs). With USAID funding now concluded, the team welcomes any organization interested in sustaining this momentum in Assam.