By ESS news
India’s Ministry of Power has issued a directive requiring a minimum of 20% local content in all battery energy storage system (BESS) projects implemented under the Viability Gap Funding (VGF) Scheme supported by the Power System Development Fund (PSDF).
The order, addressed to 15 beneficiary states and Indian state-owned energy company NTPC, is in response to requests from several states seeking exemptions from the Public Procurement (Preference to Make in India) (PPP-MII) Order for BESS procurement. After assessing these requests, the Ministry clarified the local substantive requirements and established a uniform threshold for all BESS projects supported by the VGF.
States and procuring entities must ensure that at least 20% of the total project cost qualifies as local content.
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