Pace Digitek Limited has doubled its Battery Energy Storage System (BESS) manufacturing capacity to 5 GWh with the commissioning of a new 2.5 GWh production line at its Bengaluru facility through its material subsidiary, Lineage Power Private Limited. The expansion is aimed at meeting India’s rapidly growing demand for grid-scale energy storage and strengthening the company’s execution capabilities for large utility-scale projects.
The newly commissioned production line increases the company’s cumulative operational BESS manufacturing capacity from 2.5 GWh to 5 GWh, positioning Pace Digitek among India’s leading domestic energy storage manufacturers. The company said the expansion supports the country’s transition toward renewable energy while addressing rising demand for battery storage solutions required for grid stability and peak power management.
The capacity addition comes as Pace Digitek holds an executable order book worth ₹11,338 crore, of which ₹8,854 crore is linked to the energy sector, including 5.32 GWh of BESS-related projects. The expanded manufacturing capability is expected to accelerate the execution of ongoing projects, including major contracts awarded by NTPC and Damodar Valley Corporation (DVC).
Lineage Power has also crossed the milestone of manufacturing more than 300 utility-scale BESS containers, representing around 1.5 GWh of installed storage capacity. To strengthen its supply chain, the company has secured a long-term 3 GWh lithium-ion battery cell supply agreement with Guangzhou Rongjie Energy Technology, ensuring a stable supply of battery cells for future production.
Looking ahead, Pace Digitek has outlined plans to further expand its manufacturing capacity to 10 GWh by Q3 FY2027. The company stated that orders for the additional 5 GWh production lines have already been placed. It is also developing an in-house container fabrication facility, expected to become operational in Q2 FY2027, to improve manufacturing efficiency and enhance backward integration.
In addition to manufacturing expansion, Lineage Power recently established the Pace-Lineage Research Center in Pune in collaboration with IISER Pune to advance research in Advanced Chemistry Cells (ACC) and next-generation battery materials. Earlier this year, the company also secured a ₹158.71 crore battery pack supply order from Reliance Industries Limited, further strengthening its presence in India’s energy storage ecosystem.
India’s growing renewable energy capacity is driving demand for large-scale battery storage, with the Central Electricity Authority (CEA) targeting around 230 GWh of energy storage capacity by 2030. Against this backdrop, Pace Digitek’s latest expansion is expected to enhance its ability to serve utility-scale projects while supporting the country’s clean energy and grid modernization goals.
Commenting on the development, Venugopal Rao Maddisetty, Chairman & Managing Director, Pace Digitek Limited, said:
“The commissioning of our additional 2.5 GWh manufacturing line builds on the progress we have made over the past year in building an integrated BESS business. During this period, we have strengthened our manufacturing capabilities, advanced localisation and enhanced execution across the value chain. With our installed manufacturing capacity now at 5 GWh, we can support our growing order book, project pipeline and product supplies while improving operational and cost efficiencies. We will continue investing in manufacturing, technology and product development to deliver reliable energy storage solutions to our customers.”
Pace Digitek Limited (BSE: 544550, NSE: PACEDIGITK) is an integrated infrastructure and energy solutions company operating across the Energy and Telecom & ICT business segments. The Company operates across the value chain, spanning Manufacturing, Engineering, Procurement & Construction (EPC) and Operations & Maintenance (O&M) activities, supporting both project execution and product supply.
In the energy segment, the Company undertakes Battery Energy Storage System (BESS) design, manufacturing, system integration and deployment. Through its subsidiary, Lineage Power Private Limited, the Company manufactures energy storage systems and related power infrastructure products.
In the Telecom & ICT segment, the Company manufactures telecom power systems and delivers EPC and O&M services for telecom infrastructure, fibre networks and digital infrastructure projects across India.
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