Godawari New Energy Private Limited (GNEPL), a wholly owned subsidiary of Godawari Power & Ispat Limited (GPIL), has approved an investment of ₹16.25 billion to set up a 40 GWh Battery Energy Storage System (BESS) manufacturing plant in India, significantly scaling up its clean energy ambitions.
The decision marks a fourfold expansion from the company’s earlier approved plan of 10 GWh, reflecting growing confidence in India’s emerging grid-scale energy storage market and long-term demand outlook for battery storage solutions.
Phased development plan
The proposed BESS manufacturing facility will be developed in two phases:
- Phase I will involve setting up 20 GWh of manufacturing capacity with an investment of ₹10.25 billion. This phase is targeted for commissioning by FY 2027.
- Phase II will add an additional 20 GWh, taking the total installed capacity to 40 GWh, with an investment of ₹6 billion. The second phase is expected to be completed by FY 2029.
According to the company, expanding the facility at a single location will result in better land utilisation, lower structural costs, and reduced investment per unit of capacity, improving overall project economics.
Funding structure
The investment will be financed through a combination of debt raised by Godawari New Energy and equity infusion from its parent company, Godawari Power & Ispat Limited. The board approval underscores GPIL’s strategic push to diversify beyond steel and conventional power into advanced energy storage manufacturing.
The expansion comes at a time when India’s energy storage market is transitioning from pilot-scale deployments to utility-scale projects. While India added limited storage capacity in the first half of 2025, the pipeline of standalone battery energy storage projects continues to grow, driven by renewable energy integration requirements, grid flexibility needs, and policy support such as viability gap funding mechanisms.
A 40 GWh manufacturing facility positions Godawari New Energy among the larger announced battery storage manufacturing capacities in the country and aligns with the government’s push for domestic manufacturing under clean energy and energy security initiatives.
Godawari Power & Ispat Limited is a diversified industrial group with interests spanning steel, mining, and power generation. Through Godawari New Energy, the company is expanding into the energy storage value chain, focusing on manufacturing battery systems to support grid-scale storage applications.
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