In a strategic move into the energy transition category, Coal India Limited (CIL) has been awarded a contract to create a 750 MWh BESS at Choutuppal by Telangana Power Generation Corporation Limited.
The project is expected to be finished within 18 months from the signing of the Battery Energy Storage Purchase Agreement (BESPA), and it involves an expenditure of ₹1,057.09 crore. It has a four-hour capacity of 187.5 MW.
A monthly fee of ₹3.14 lakh per megawatt-hour will be charged by CIL as part of the arrangement. Before the final agreement can be executed, the company has 15 days to present performance bank guarantees and finish all necessary paperwork.
The firm stated in its regulatory filing that no related party transactions were involved in the contract, which was awarded by a domestic business.
As part of its plan for long-term growth, CIL is increasingly focusing on renewable energy and energy storage solutions, further diversifying its business beyond coal mining. This development highlights this effort.
Prior to the announcement, CIL shares ended the market at ₹445.10, up 0.32%. Consistent optimism among investors has led to a 14.15% year-to-date increase and a 14% gain over the previous six months.
