The Maharashtra Electricity Regulatory Commission (MERC) has proposed amendments to the State Grid Code to introduce operational, scheduling, data-sharing, and grid compliance requirements for battery energy storage systems (BESS) and renewable energy projects.

The draft Maharashtra Electricity Regulatory Commission (State Grid Code) (Second Amendment) Regulations, 2026, will apply across Maharashtra and come into effect from the date of publication in the Official Gazette.

The Commission has proposed defining an energy storage system (ESS) as a facility that converts electrical energy into another form of energy for storage and subsequently reconverts it into electrical energy and injects it into the grid.

It has also defined a renewable energy generating station as a generating station based on renewable energy, with or without an ESS, including renewable hybrid generating stations.

Connection Standards

The State Grid Code is proposed to be expanded to include ESS and renewable energy generating stations.

BESS and renewable energy generating stations connected to, or seeking connectivity with, the intra-state transmission system (InSTS) must comply with the Grid Code, applicable Central Electricity Authority technical standards, connectivity and communication requirements, protection requirements, and other procedures and MERC guidelines.

SLDC Control Over BESS Operations

BESS connected to the InSTS must operate according to directions and instructions issued by the State Load Despatch Center (SLDC).

These directions can cover charging and discharging, system security, voltage and frequency control, and other aspects necessary for secure, reliable, and efficient grid operation.

BESS operators must provide real-time operational data to the SLDC through approved communication systems. The information will include charging and discharging status, available energy, available charging and discharging capacity, and state of charge.

The systems must comply with SLDC instructions relating to frequency support, voltage regulation, congestion management, reserve support, and system restoration.

Scheduling and Deviation Settlement

BESS connected to the InSTS will participate in scheduling and despatch according to the Grid Code and procedures specified by the SLDC.

Charging and discharging schedules must be identified and accounted for separately. Both schedules will also be subject to the applicable Deviation Settlement Mechanism regulations.

MERC has proposed recognizing owners or operators of BESS connected to the intra-state transmission system as state entities.

BESS operators must also provide the operational, technical, and commercial information required by the SLDC, State Transmission Utility, and distribution licensees. They must maintain adequate communication and telemetry infrastructure for sharing real-time operating information.

Operators must follow SLDC instructions relating to charging and discharging, ancillary services, congestion management, voltage and frequency control, system security, and grid operation.

Metering

The proposed amendments will expand the applicability of the State Grid Code’s Metering Code to cover ESS and renewable energy generating stations connected to the InSTS.

Recently, the Maharashtra Government clarified that all new renewable energy projects with a capacity or connectivity of more than 100 kW must install energy storage under the state’s Renewable Energy and Energy Storage Policy 2025 to 2036. The requirement will also apply to renewable energy projects supplying power to open access consumers that do not require banking or balancing support.

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