Government of Bihar

unknown · 2003 · Bihar

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Parent: The ELECTRICITY ACT, 2003 (2606b95dae11d9802fbbcf6324150adbcd1faa51)

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## Page 1 Government of Bihar Energy Department Bihar Pumped Storage Projects Promotion Policy-2025 Date:- 17.07.2025 Resolution No- 3401 ## Page 2 GOVERNMENT OF BIHAR ENERGY DEPARTMENT Resolution Patna ,Dated:- 17.07.2025 No.-o/BSPGCL-01/2024- 3401 Sub :- Bihar Pumped Storage Projects Promotion Policy-2025 1. Preamble: 1.1 India's National Electricity Plan (NEP) for 2022-32, released by the Central Electricity Authority (CEA), highlights the critical role of pumped storage in addressing the challenges of integrating renewable energy sources into the grid .As the share of renewable in the overall generation mix increases, large-scale energy storage solutions become essential to manage grid flexibility and ensure system stability. 1.2 The NEP projects a significant rise in pumped storage capacity, from 7.5GW in 2026-27 to 27GW by 2031-32. This reflects the growing need to balance the variable nature of renewable energy sources like solar and wind .Additionally ,the Ministry of Power's Energy Storage Obligations(ESO) mandate DISCOMs to procure 4% of their Renewable Purchase Obligation (RPO) through Energy Storage by 2030. 1.3 Among various storage technologies , Pumped Storage Projects (PSP) stands out as a mature and proven solution. PSP facilities offer several key benefits: Grid flexibility: PSP can rapidly respond to fluctuations in electricity demand and supply, ensuring grid stability. Dispatchability : Unlike variable renewable sources, PSP can generate electricity on demand, providing reliable peak power. Cost-effectiveness: PSP offers a cost-competitive energy storage solution for large-scale applications. Clean, Green and Safe :PSP does not produce any poisonous or harmful by products and thus do not pose any problem of disposal of waste. In recognition of these

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1 · Preamble:

1 · 1 India's National Electricity Plan (NEP) for 2022-32, released by the Central Electricity Authority

1 · 2 The NEP projects a significant rise in pumped storage capacity, from 7.5GW in 2026-27 to 27GW

1 · 3 Among various storage technologies , Pumped Storage Projects (PSP) stands out as a mature and

2 · Definitions:

3 · Objectives:

3 · 1

3 · 2

3 · 3

3 · 4

3 · 5

4 · Policy Validity and Applicability:

5 · Implementing Agency/Nodal Agency:

5 · 1

5 · 2

5 · 3

5 · 4

6 · Classification of Pump Storage Projects:

7 · 1

7 · 1.1 Nomination: The State Govt. may allot projects on nomination basis to CPSUs indicated by

7 · 1.2 Competitive Bidding:

7 · 2 Off-stream closed loop pumped storage project

7 · 2.1 Allocation methodology:

7 · 2.2 Conflict Resolution:

8 · Support and Incentives:

8 · 1

8 · 2

9 · Terms and Conditions of Allotment:

9 · 1

9 · 2

10 · Facilitation Charges:

11 · Time Limit for Executing Project:

11 · 1 The Developer shall commit and adhere to project execution timelines to complete the

11 · 2

11 · 3

11 · 4

11 · 5 The Developer may surrender the allotment back to State Govt., if on completion of the Detailed

12 · Period of Allocation:

12 · 1 The Pumped Storage Projects shall be offered for a maximum period of forty-five (45) years from

12 · 2 The project assets would be maintained by the successful Developer in a condition that would

12 · 3

12 · 4 If such inspections find that the plant capacity and/or life are being undermined by inadequate

13 ·

13 · 1 Where the Developer wishes to connect to the State Transmission Utility (STU), Bihar State Power

13 · 2 The Developer shall lay the network infrastructure from the PSP site to the grid connectivity point

13 · 3 If any new EHV substations and transmission lines or strengthening of existing transmission system

14 ·

14 · 1 Project transfer is allowed after project commissioning as per the norms and procedures adopted

14 · 2 Pre-commissioning transfer is allowed if:

15 ·

15 · 1 Compliance with regard to selection of developer on nomination as well as through tender process

15 · 2 integration with the Bihar Purchase Preferential Policy 2024 & its amendments if any, will be

16 ·

16 · 1 In the event of any dispute or differences arising in relation to the interpretation, development or

16 · 2 Appellate Forum:

17 ·

200 · (two hundred) copies of the published gazette to Energy Department, Bihar, Patna.