The Ministry of Power announced the second tranche of viability gap funding (VGF) to support battery energy storage systems (BESS) development in India. Under this tranche, a VGF of ₹1.8 million (~$21,043)/MWh will be provided to support the development of 30 GWh of BESS capacity. The funding will be sourced from the Power System Development Fund (PSDF), with a total financial outlay of ₹54 billion (~$631.30 million). Of the proposed 30 GWh, 25 GWh of storage capacity has been allocated across 15 states to help them address their energy storage requirements. NTPC will develop the remaining 5 GWh. This allocation is intended to maximize the utilization of NTPC’s existing thermal generation and transmission infrastructure while ensuring a reliable and cost-effective electricity supply during non-solar hours.