New Delhi, Nov. 12 -- The Power Ministry has proposed extending delayed payment safeguards to standalone energy storage systems (ESS), aiming to improve investor confidence and attract financing for battery and pumped hydro storage projects.

The proposed amendment to the Electricity (Late Payment Surcharge and Related Matters) Rules, 2022, would provide independent energy storage service providers the same statutory payment protections currently available to power generators, transmission companies and electricity traders, Business Standard reported.

Under the existing rules, DISCOMs must pay bills by the due date specified in power purchase agreements or within 45 days if no payment date is specified. Delayed payments attract a surchar...