Power Mech Projects Limited has announced that its wholly owned subsidiary PM Green Private Limited has secured a landmark 1 GWh Battery Energy Storage System (BESS) contract from West Bengal State Electricity Distribution Company Limited (WBSEDCL).
The project marks PM Green’s formal entry into utility-scale energy storage, aligning with Power Mech’s broader renewable energy strategy as India accelerates grid-scale storage deployment.
Project Overview
PM Green participated as the lead member in the tender floated by the Department of Power, Government of West Bengal, and has been awarded the contract for developing a 250 MW / 1,000 MWh BESS under a Build, Own, Operate (BOO) model.
The project carries a 100 percent off-take guarantee from WBSEDCL, ensuring long-term revenue visibility.
Key project details:
- Base project capacity: 250 MW / 1,000 MWh
- Location: Goaltore Substation, Paschim Midnapore, West Bengal
- Project model: BOO (Build, Own, Operate)
- Off-taker: WBSEDCL
- Construction timeline: 18 months from BESPA signing
- Contract tenure: 15 years, extendable by up to 5 years
Greenshoe Option and Total Scope
The contract also includes a greenshoe option for an additional 250 MW / 1,000 MWh BESS, proposed to be developed at the Durgapur Project Limited campus in Durgapur.
If fully exercised, the total project scope would rise to 500 MW / 2,000 MWh, with cumulative revenue potential of approximately ₹3,126 crore, including the greenshoe capacity.
Scope of Work
PM Green’s responsibilities cover the entire lifecycle of the BESS project, including:
- Design and engineering
- Financing and procurement
- Construction and commissioning
- Long-term operation and maintenance
The comprehensive scope positions PM Green as an integrated energy storage solutions provider rather than a pure EPC contractor.
Leadership Commentary
Commenting on the project win, Sajja Kishore Babu, Chairman and Managing Director of Power Mech Projects Limited, said the project represents a strategic step toward balancing India’s growing renewable energy capacity with grid reliability.
He noted that as renewable energy exceeds 50 percent of India’s installed capacity, advanced peak-shaving and grid-balancing solutions such as battery storage are becoming essential. He added that winning a project of this scale as PM Green’s debut in energy storage demonstrates the group’s engineering strength and execution capability.
Why This Matters
The award of a 1 GWh BESS project in West Bengal highlights the accelerating role of large-scale energy storage in India’s power sector. Standalone battery storage is increasingly critical for:
- Managing renewable energy intermittency
- Supporting peak demand and grid stability
- Reducing reliance on thermal peaking power
- Enabling round-the-clock clean power
State utilities are emerging as key drivers of grid-scale BESS deployment through long-term, off-take-backed contracts.
Industry Outlook
India’s energy storage market is entering a rapid growth phase, supported by policy backing, competitive bidding, and falling battery costs. Projects structured under BOO models with assured off-take are expected to attract increased participation from infrastructure and power sector players.
With this contract, Power Mech and PM Green have positioned themselves early in a new energy vertical that is set to become a cornerstone of India’s clean energy transition over the next decade.
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