Premier Energies signs JV with RCT India for 12 GWh BESS plant
- Premier Energies signs binding term sheet with RCT Energy India for a 12 GWh BESS plant in Telangana
- Phase 1 capacity set at 6 GWh with operations targeted for FY27-28
- PBTPL to hold 85% stake initially, with RCT holding 15% and an option to increase to 20%
- Facility aims to serve domestic and international markets as an export-oriented platform
*this image is generated using AI for illustrative purposes only.
Premier Energies has entered into a binding term sheet with RCT Energy India Private Limited to establish a 12 GWh battery energy storage system (BESS) manufacturing facility in Telangana. The agreement, signed on September 10, 2026, marks the company’s expansion into energy storage manufacturing.
Joint venture structure and ownership
The new entity, Premier Energies Storage Solutions Private Limited (PESSPL), will be headquartered at Seetharampur, Telangana. Under the proposed shareholding pattern, Premier Battery Technologies Private Limited (PBTPL), a wholly-owned subsidiary of Premier Energies, will hold an 85% equity stake. RCT Energy India, part of the German-based RCT Group, will hold 15%. RCT India retains an option to increase its shareholding to 20%, reducing PBTPL’s stake to 80%.
The parties have agreed to execute definitive agreements, including a Shareholders’ Agreement, within 30 days of signing the term sheet. The governance framework will define board composition and respective roles.
Facility details and strategic intent
The BESS facility is designed to serve commercial, industrial, and utility-scale segments in both Indian and international markets. It is envisioned as an export-oriented manufacturing platform, leveraging RCT’s global supply-chain network and engineering expertise.
| Parameter | Details |
|---|---|
| Joint venture partner | RCT Energy India (part of RCT Group, Germany) |
| Total planned capacity | 12 GWh |
| Phase 1 capacity | 6 GWh |
| Phase 1 commencement | FY27-28 |
| Facility location | Seetharampur, Telangana |
| Agreement type | Binding term sheet |
| Equity split (PBTPL/RCT) | 85%/15% (option for 80%/20%) |
Development will proceed in phases, with the first phase planned at 6 GWh. The facility is expected to commence operations in FY27-28.
Regulatory disclosures
Premier Energies Limited filed the intimation with stock exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015. The company disclosed that neither it nor any group entity holds any prior shareholding in RCT India. The transaction is not classified as a related-party transaction, and no directors from RCT India will be nominated to the Board of Directors of the listed entity.
Management commentary
Chiranjeev Saluja, Managing Director of Premier Energies, stated that energy storage is critical for India’s renewable energy expansion. He noted that the partnership provides access to a rapidly growing market and aims to build globally competitive BESS products.
Sukumar Reddy Madugula, Managing Director of RCT India, highlighted the venture as a testament to the strength of the relationship with Premier Energies, aiming to bring global expertise to India’s BESS sector.
Historical Stock Returns for Premier Energies
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.82% | -3.21% | -7.57% | +34.12% | -3.07% | 0.0% |
How will Premier Energies secure the necessary capital expenditure for the 12 GWh facility, and will this impact its existing debt-to-equity ratio?
What specific regulatory incentives or subsidies under India's Production Linked Incentive (PLI) scheme is Premier Energies targeting to offset initial manufacturing costs?
Given the 85/15 equity split, how will governance decisions regarding technology transfer and supply chain integration be managed between Premier Energies and RCT Group?
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