Rajasthan’s 2.45 GW Solar-Plus-Storage Auction Delivers Tariffs as Low as ₹3.42/kWh
October 16, 2026
Rajasthan has taken another significant step toward integrating renewable energy with large-scale storage, following a competitive auction for 2,450 MW of solar power paired with 1,600 MW/6,400 MWh of battery energy storage systems (BESS) at Pugal Solar Park.
Conducted by Rajasthan Solar Park Development Company Ltd. (RSDCL), the auction delivered tariffs ranging from ₹3.42 to ₹3.54 per kWh, demonstrating strong competition among developers and growing interest in integrated solar-plus-storage projects.
The auction was divided into two lots. In the 2,000 MW first lot, NLC India Renewables secured 1,000 MW and Rama Reflection India won 250 MW, both at ₹3.53/kWh. Coal India secured the remaining 750 MW at ₹3.54/kWh.
In the second lot, Coal India won 225 MW at the lowest discovered tariff of ₹3.42/kWh, while LEO Energies secured the remaining 225 MW at ₹3.43/kWh. The first lot attracted 31 bidders, reflecting substantial developer participation in the tender.
Pairing solar generation with battery storage can help address one of renewable energy’s central challenges: the timing difference between when electricity is generated and when consumers need it.
Solar power is strongest during daylight hours, while demand can rise in the evening. Batteries can store surplus daytime generation and discharge electricity later, helping improve supply flexibility and support grid operations.
The Pugal projects include four-hour battery storage systems. The tender also sets requirements for battery availability and project performance, with the aim of supporting dependable renewable electricity delivery.
The lowest tariff of ₹3.42/kWh is an important auction outcome, but the prices should be viewed in the context of the complete project requirements, including storage, land, grid connectivity, financing and operating obligations.
Competitive tariffs alone do not guarantee that renewable power will reach consumers when needed. Transmission infrastructure, battery performance, project execution and effective scheduling will all influence the long-term value of these projects.
Rajasthan’s auction reflects a broader shift in India’s renewable-energy market—from adding generation capacity alone toward combining generation with flexibility and storage.
As solar and wind capacity expands, battery storage can help reduce the mismatch between variable generation and demand. Large integrated projects may also encourage investment in battery supply chains, power electronics, grid infrastructure and energy-management systems.
Rajasthan’s 2.45 GW solar-plus-storage auction highlights how battery energy storage is becoming an increasingly important part of utility-scale renewable development. The next measure of success will be how effectively these projects are delivered, connected and operated to provide reliable, affordable clean electricity.
