Tamil Nadu Cabinet may clear BESS policy, industrial proposals on Thursday
Synopsis
Key Takeaways
Tamil Nadu's Cabinet, meeting under Chief Minister C. Joseph Vijay at the Secretariat in Chennai on Thursday, 28 October 2026, is expected to take up a landmark Battery Energy Storage System (BESS) policy aimed at reinforcing the state's renewable energy infrastructure. Industrial proposals and several administrative decisions are also likely to feature in the government's third Cabinet meeting, according to reports.
What the BESS Policy Proposes
The draft policy seeks to promote facilities capable of storing solar and wind electricity for dispatch when required, helping cushion the grid against the inherent variability of weather-dependent generation. Officials noted that battery storage could deliver a more dependable electricity supply by smoothing out fluctuations in renewable output.
The proposal has been in preparation for over five months, undergoing several revisions with support from a consultancy firm. A senior Tamil Nadu Electricity Board (TNEB) official said the utility studied BESS frameworks already in place in Gujarat, Rajasthan, and other major states before refining the draft. Consultations with solar and wind power developers on the policy and its implementation have also been conducted, officials added. Notably, approval has not yet been confirmed as of Thursday's scheduled meeting.
Industry Calls for Duty Relief and Exemptions
Renewable energy producers have broadly welcomed the proposed policy but are seeking modifications to ease the financial strain on developers. Kumardas, a member of the renewable energy producers' association, urged the state government to engage with the Union government on allowing duty-free imports of BESS equipment, pointing to the high cost of battery systems and the limited domestic availability of such infrastructure.
He further proposed that solar installations of 5 MW or less be exempted from compulsory BESS provisions, arguing that smaller projects typically see their daytime output consumed within the same period, leaving limited scope for meaningful storage.
Context: Rising Storage Demand Amid Monsoon Strain
The deliberations carry added urgency amid the intensifying northeast monsoon, with authorities already managing power outages and working to maintain stable electricity supply across the state. Tamil Nadu's rapidly expanding renewable energy capacity has sharpened the structural need for storage infrastructure, as solar and wind generation cannot on their own guarantee round-the-clock grid stability.
This comes amid a broader national push to pair renewable capacity additions with storage mandates, a policy direction the Union government has been nudging states toward through central frameworks.
Other Items on the Cabinet Agenda
Beyond energy policy, ministers are reportedly set to discuss law and order in the context of the Theni district jailbreak. The contentious proposal to establish a new Secretariat at Foreshore Estate — which has faced stiff public and political opposition — could also be taken up during the Thursday session. Industrial investment proposals are additionally expected to be cleared, though specific details had not been disclosed ahead of the meeting.