India Launches Its First Fully Automated Battery Energy Storage System Factory in Karnataka

India’s First ‘Fully Automated’ BESS Factory Opens in Karnataka
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Energy storage is crucial for harnessing solar and wind energy, according to Karnataka’s energy minister, who inaugurated India’s first fully automated battery energy storage system (BESS) factory on June 27, 2025. The factory, operated by Lineage Power, a manufacturer specializing in power conversion systems and controls, is located in Bengaluru, the capital of Karnataka, and boasts an impressive capacity of 5GWh.

During the opening ceremony, Karnataka’s energy minister, KJ George, emphasized the importance of battery storage systems at solar PV power plants. These systems are intended to store excess energy for grid supply as needed, especially during peak demand periods. He noted that renewable energy sources, particularly wind and solar PV, now account for 65% of the state’s energy generation. Although Karnataka has enjoyed a surplus in energy production for several years, effective storage solutions are essential for managing this energy effectively.

While the minister did not explicitly state that storage would be mandated, a tweet from the state government’s Department of Information and Public Relations suggested that regulations might be introduced in the future.

### Advancing Towards Renewable Energy Goals

Lineage Power, owned by Pace Digitek—a telecom and energy solutions company based in Bengaluru—has developed this state-of-the-art factory. Pace Digitek acquired the technology from General Electric in 2014, after GE had purchased Lineage Power from ABB three years prior. The company has described the new facility in Bidadi, located in Bengaluru’s South District, as a unique, fully automated BESS manufacturing plant.

Pralhad Joshi, the Indian Union Minister of New and Renewable Energy, also participated in the opening event. He remarked that the factory will produce 5MWh DC blocks for utility-scale applications, paired with a 2.5MW power conversion system, and will have an annual production capacity of 5GWh. Joshi emphasized that as renewable energy integration into the grid increases, reliable and scalable energy storage becomes critical. He mentioned that projects like this factory are pivotal to achieving India’s goal of 500GW of non-fossil fuel capacity by 2030.

### The Need for Domestic Supply Chains

In a recent guest blog for Energy-Storage.news, Debmalya Sen, president of the India Energy Storage Alliance (IESA), highlighted the government’s recognition of the necessity to promote domestic battery supply chains. While the manufacturing of battery cells—often seen as the most complex segment of the value chain—has yet to take off in India, the country is expected to achieve an annual production capacity of 225GWh for battery packs by the end of this decade.

The Central Electricity Authority (CEA) has indicated that energy storage should be mandatory in solar PV tenders, while also modeling a significant requirement for pumped hydro energy storage (PHES) to provide long-duration energy storage in conjunction with BESS.

In addition to the new factory, Karnataka plans to implement a 2GW battery storage project alongside three PHES plants, including the 2GW Sharavathi project, the 1.5GW Varahi project, and the 1GW Pavagada project. Other storage technologies are also being explored, including flow battery storage and a carbon dioxide-based long-duration energy storage solution from the Italian company Energy Dome.

### Conclusion

The opening of this fully automated BESS factory marks a significant milestone for India’s energy sector, reinforcing the country’s commitment to renewable energy and improving its energy storage capabilities. As the demand for reliable energy storage continues to grow, initiatives like this factory will play an essential role in supporting India’s transition to a sustainable energy future.