New Delhi: Coal India has awarded a Battery Energy Storage System (BESS) project in Choutuppal, Telangana, to Pace Digitek Limited at a cost of ₹1,073.74 crore. The company emerged as the successful bidder among 11 participants in the tender, strengthening its presence in India’s growing energy storage market.
The project adds to the expansion of standalone battery energy storage infrastructure in Telangana, where large-scale storage systems are being developed to support grid stability and improve the management of electricity supply.
Other companies and joint ventures that participated in the tender but did not make the final selection included Kosol Energy–DEC Infrastructure, KPI Green–Amara Raja, Larsen & Toubro (L&T), Jackson Limited, Waaree Renewable Technologies and O2 Power, among others.
Coal India Secures 750 MWh BESS Project in Telangana
Coal India has also secured a 187.5 MW/750 MWh standalone BESS project associated with Telangana GENCO. The project is designed to provide four hours of energy storage and was awarded at a tariff of ₹3.14 lakh per MW per month.
The project highlights the growing role of battery storage in supporting electricity systems. Such facilities can store electricity and discharge it when required, helping manage variations in demand and supply.
The 750 MWh storage capacity is designed to deliver power over a four-hour period at the project’s rated output, subject to operational conditions.
Pace Digitek Previously Won 250 MW/500 MWh Telangana BESS Tender
Pace Digitek has also established a presence in Telangana’s energy storage market through an earlier standalone BESS tender floated by Telangana State Power Generation Corporation Limited (TSGENCO).
In March 2025, the company secured a share of TSGENCO’s 250 MW/500 MWh standalone BESS tender. The tender was awarded to three successful bidders for different portions of the project.
The other successful bidders included Bondada Engineering, which secured 50 MW at a tariff of ₹2.40 lakh per MW per month, and the TrueRE–Oriana Power combination, which won 50 MW at ₹2.45 lakh per MW per month.
The earlier project further strengthened Pace Digitek’s position in the battery energy storage segment and expanded its participation in India’s emerging grid-scale storage market.
Pace Digitek Wins 57.5 MW/115 MWh BESS Project in Delhi
Beyond Telangana, Pace Digitek has also received a Letter of Intent (LoI) from BSES Rajdhani Power Limited for a 57.5 MW/115 MWh standalone BESS project in Delhi.
The project is spread across four grid substations and is intended to add battery storage capacity to the electricity distribution network.
The four locations and their respective project capacities are:
- Sagarpur–DESU Colony: 30 MW/60 MWh.
- Bindapur: 15 MW/30 MWh.
- Hari Nagar: 7.5 MW/15 MWh.
- G4: 5 MW/10 MWh.
Together, these installations account for 57.5 MW of power capacity and 115 MWh of energy storage capacity.
The Delhi project further expands Pace Digitek’s BESS portfolio beyond Telangana and demonstrates the growing demand for battery storage solutions within urban electricity distribution networks.
Battery Energy Storage Projects Gain Momentum in India
Battery Energy Storage Systems are becoming increasingly important as India expands its renewable energy capacity and seeks to improve the reliability of electricity supply. These systems store electricity during periods of availability and release it when demand rises or generation falls.
Large-scale BESS projects can support peak-demand management, grid balancing and the integration of renewable energy into the electricity network. They can also help power utilities manage fluctuations in supply and demand more efficiently.
The growing pipeline of storage projects in Telangana and Delhi reflects the wider push to develop energy storage infrastructure as part of India’s evolving power sector.
About Coal India Limited
Coal India Limited (CIL) is a Government of India public-sector enterprise under the Ministry of Coal and one of the world’s largest coal-producing companies. The company primarily operates in coal mining and supply, supporting India’s electricity generation and industrial sectors. Its involvement in battery energy storage projects reflects participation in the broader development of India’s evolving energy infrastructure.
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