Power Ministry grants one-year relief on DPIIT registration norms for lithium-ion based BESS projects

The Ministry of Power has provided a one-year exemption from mandatory DPIIT registration requirements for bidders deploying lithium-ion cell technology in grid-connected battery energy storage system (BESS) tenders, citing the limited availability of advanced battery cell manufacturing capacity within the country.

In an official communication dated January 9, 2026, the ministry said it had received several representations from BESS manufacturers requesting relaxation from registration conditions under the Department of Expenditure’s public procurement order. These requests were primarily from bidders operating under transfer-of-technology arrangements with companies based in countries sharing land borders with India.

The exemption has been granted under clause 15(iv) of the public procurement order issued on February 23, 2023, and will be applicable for a period of one year from the date of issuance. The move is intended to encourage broader participation in BESS tenders and speed up the rollout of storage infrastructure that is critical to supporting India’s clean energy transition.

The ministry noted that large-scale energy storage plays a vital role in meeting India’s updated climate targets, which include cutting the emissions intensity of GDP by 45 per cent, achieving 50 per cent non-fossil fuel installed capacity by 2030, and attaining net-zero emissions by 2070.

As per estimates by the Central Electricity Authority, India will need nearly 208 GWh of battery storage capacity by 2029–30, compared with the current installed capacity of about 0.5 GWh. Domestic production of lithium-ion cells is still at an early stage, while globally the technology remains the most mature and cost-effective solution for grid-scale energy storage.

The waiver has been cleared by the competent authority and formally communicated to state governments, central power sector utilities and renewable energy implementing agencies.