VSL PowerHive, a wholly owned subsidiary of Vikram Solar, plans to establish a battery energy storage system (BESS) assembly plant with an annual capacity of 7.5 GWh in Oragadam, near Chennai, Tamil Nadu. The company intends to expand the facility’s capacity to 15 GWh in phases as part of its broader target to achieve 30 GWh of total battery manufacturing capacity by 2030. The facility is scheduled for inauguration in January 2027, with commercial operations expected to begin in April 2027. The project marks an important step in strengthening India’s domestic battery energy storage manufacturing capabilities.
Facility to Manufacture Lithium Iron Phosphate Energy Storage Systems
The facility will assemble lithium iron phosphate (LFP)-based battery energy storage systems for utility-scale and commercial and industrial (C&I) applications. The product portfolio will include 5.016 MWh and 6.25 MWh liquid-cooled BESS containers, PowerHive’s P261 battery cabinets,
utility-scale energy storage systems and renewable energy-integrated storage solutions. The company plans to manufacture these products in India under the Make in India initiative, supporting domestic production and the development of a local energy storage supply chain.
VSL PowerHive Plans Expansion into Battery Cell Manufacturing
Beyond battery assembly, VSL PowerHive plans to enter battery cell manufacturing through a 7.5 GWh programme starting in 2028. This expansion will support the company’s ambition to develop an integrated battery manufacturing ecosystem in India, covering the entire value chain from cells to complete energy storage systems. To strengthen its technological capabilities, the company is developing indigenous battery technologies and has initiated multiple patent filings. These efforts aim to increase technology ownership, encourage domestic innovation and reduce dependence on imported technological expertise.
Role of Energy Storage in India’s Energy Transition
Gyanesh Chaudhary, Chairman and Managing Director of Vikram Solar, said energy storage will play a critical role in connecting India’s renewable energy ambitions with reliable, round-the-clock clean power. He noted that as India expands its solar and wind energy capacity, reliable storage will become increasingly important for managing renewable power generation. Therefore, building domestic battery manufacturing capabilities is essential to support the country’s energy transition. Chaudhary added that the new facility will extend Vikram Solar’s presence across the clean energy value chain, from power generation to energy storage.
PowerHive Targets Growing Demand for Battery Storage
Arun Mittal, CEO of VSL PowerHive, highlighted the growing demand for energy storage solutions in India as renewable energy deployment accelerates. He said the company aims to establish world-class battery manufacturing capabilities, beginning with 7.5 GWh of assembly capacity before expanding into cell manufacturing and a more integrated production ecosystem. According to Mittal, this strategy will enable VSL PowerHive to serve utilities, renewable energy developers and industrial customers with domestically manufactured, future-ready energy storage solutions.
Battery Manufacturing Ecosystem
VSL PowerHive’s proposed plant represents a strategic investment in India’s battery energy storage sector. By combining large-scale assembly, future cell manufacturing and indigenous technology development, the company aims to strengthen domestic supply capabilities and support the wider adoption of renewable energy. As India continues to expand its renewable energy infrastructure, locally manufactured battery storage systems could play an increasingly important role in improving power reliability and supporting the transition towards a cleaner energy future.
