Power Mech Projects Ltd has won a contract to develop up to 2 GWh of standalone battery energy storage capacity in West Bengal, marking one of the state’s largest utility-scale storage awards to date.
The project has been awarded by West Bengal State Electricity Distribution Company Ltd (WBSEDCL) to Power Mech’s renewable energy subsidiary, PM Green Energy. The development will be executed under a build-own-operate (BOO) model.
Under the initial scope, Power Mech will set up a 250 MW / 1,000 MWh battery energy storage system (BESS) at the Goaltore substation in Paschim Medinipur district. The contract also includes a greenshoe option for an additional 250 MW / 1,000 MWh BESS at the Durgapur Project Ltd campus, taking the total potential capacity to 2 GWh.
WBSEDCL has committed to 100% power offtake from the storage facilities under a long-term Battery Energy Storage Purchase Agreement (BESPA). Power Mech will be responsible for financing, engineering, procurement, construction, operation, and maintenance of the project.
The company expects to commission the battery storage systems within 18 months from the signing of the BESPA. The contract includes a 15-year operation and maintenance period, with an option to extend the O&M term by an additional five years.
The total estimated investment for the full 2 GWh project, including the greenshoe capacity, is around ₹3,126 crore.
The award reflects growing momentum in large-scale battery energy storage deployment in India, as state utilities increasingly turn to storage solutions to support renewable energy integration, manage peak demand, and improve grid reliability.
