Power Mech subsidiary wins 250 MW BESS project in West Bengal

Power Mech Projects Limited (PMPL) has announced that its wholly owned subsidiary, PM Green Private Limited, has secured a battery energy storage contract from West Bengal State Electricity Distribution Company Limited (WBSEDCL).

The contract is for setting up a 250 MW / 1,000 MWh standalone Battery Energy Storage System (BESS) at Goaltore in Paschim Medinipur, West Bengal. The project will be implemented under a Build Own Operate (BOO) model and includes a 100 percent power off take guarantee from WBSEDCL.

The agreement also includes a greenshoe option for developing an additional 250 MW / 1,000 MWh BESS at the Durgapur Project Limited (DPL) campus in Durgapur, West Bengal. If exercised, the total capacity under the contract would increase to 500 MW / 2,000 MWh.

The construction period for the project is 18 months from the signing of the Battery Energy Storage Purchase Agreement (BESPA). The operation period is 15 years from the Scheduled Commissioning Date, with a provision for extension by another five years. The total project value, including the greenshoe option, is Rs 3,126 crore.

Commenting on the order, Sajja Kishore Babu, Chairman and Managing Director of Power Mech Projects Limited, said the project addresses the growing need for grid balancing as renewable energy exceeds 50% of India’s installed capacity. He attributed the contract award to the company’s execution track record and engineering capabilities.

PM Green Private Limited will be responsible for the design, financing, engineering, procurement, construction, operation, and maintenance of the BESS facility.

The company has disclosed the order details to National Stock Exchange of India Limited and BSE Limited in line with regulatory requirements.

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