Godawari Power Expands BESS Project Capacity to 40 GWh with ₹1,625 Crore Investment
Godawari Power & Ispat Limited has significantly expanded its Battery Energy Storage System project from the original 10 GWh to 40 GWh capacity across two development phases. The enhanced project requires a total investment of ₹1,625 crores, with Phase 1 delivering 20 GWh capacity by Q1 FY2027-28 and Phase 2 completing the remaining 20 GWh by FY2028-29, positioning the company as a major player in India's energy storage manufacturing sector.
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Godawari Power & Ispat Limited announced a significant enhancement to its Battery Energy Storage System (BESS) project, expanding the total capacity from the originally planned 10 GWh to 40 GWh across two phases. The board approved this strategic expansion on December 12, with the complete project requiring a total investment of ₹1,625 crores compared to the initial ₹700 crores allocation.
Project Enhancement and Investment Details
The company's wholly-owned subsidiary, Godawari New Energy Private Limited (GNEPL), will implement the expanded BESS manufacturing project for battery packs and containers. The decision to increase capacity stems from the availability of a single-line unit capable of manufacturing 20 GWh Battery Energy Storage Systems annually in the first phase, enabling more effective land utilization and reduced building structural costs.
| Project Parameters | Original Plan | Enhanced Plan |
|---|---|---|
| Total Capacity | 10 GWh | 40 GWh |
| Phase 1 Capacity | 10 GWh | 20 GWh |
| Total Investment | ₹700 crores | ₹1,625 crores |
| Implementation | Single phase | Two-phase plan |
| Commercial Operations | - | Q1 FY2027-28 |
Two-Phase Development Strategy
The company outlined a comprehensive two-phase development approach for the BESS project. Phase 1 involves expanding capacity from 10 GWh to 20 GWh with an investment of ₹1,025 crores in FY2026-27. Phase 2 will further increase capacity from 20 GWh to 40 GWh in FY2028-29, requiring an additional investment of ₹600 crores, bringing the total project cost to ₹1,625 crores.
| Development Phases | Capacity Expansion | Investment | Timeline |
|---|---|---|---|
| Phase 1 | 10 GWh to 20 GWh | ₹1,025 crores | FY2026-27 |
| Phase 2 | 20 GWh to 40 GWh | ₹600 crores | FY2028-29 |
| Total Project | 40 GWh | ₹1,625 crores | Complete by FY2028-29 |
Operational Benefits and Cost Optimization
The enhanced 20 GWh single-unit manufacturing approach in Phase 1 is expected to deliver significant operational advantages. The company anticipates cost savings in BESS manufacturing and higher operating margins due to improved economies of scale. The single-line unit design enables better resource utilization while reducing overall investment requirements compared to multiple smaller units.
Funding Structure and Timeline
The project will be funded through a combination of debt financing to be raised by GNEPL and equity infusion by Godawari Power & Ispat Limited from internal accruals. The funding will be deployed in one or more tranches as the project progresses. The enhanced 20 GWh Phase 1 project is scheduled to commence commercial operations in Q1 FY2027-28, with Phase 2 completion targeted for FY2028-29.
Strategic Context
This expansion builds upon the company's earlier announcement from August 5, 2025, regarding the establishment of a BESS manufacturing unit. The enhancement reflects the company's commitment to scaling up its presence in the energy storage sector and capitalizing on the growing demand for battery energy storage solutions in India's renewable energy landscape. The 40 GWh total capacity positions the company as a significant player in the domestic battery energy storage manufacturing sector.
Historical Stock Returns for Bartronics
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.50% | +2.32% | -1.73% | -14.12% | -34.18% | -9.70% |
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