Pace Digitek Limited has announced significant progress in expanding its battery energy storage system (BESS) manufacturing capabilities through its wholly owned subsidiary, Lineage Power Private Limited, as the company accelerates its strategy to build an integrated and large-scale energy storage manufacturing platform.
The company stated that it has received key manufacturing equipment for the next phase of its capacity expansion programme. Installation, integration and commissioning activities for the additional 2.5 GWh BESS manufacturing line are currently at an advanced stage and are expected to be completed in July 2026. Once commissioned, the company’s total installed BESS manufacturing capacity will increase from 2.5 GWh to 5 GWh.
Pace Digitek has also initiated the next phase of its expansion roadmap, targeting a total manufacturing capacity of 10 GWh. According to the company, infrastructure development and facility preparation for the additional 5 GWh expansion have been substantially completed, while orders for the new production lines have already been placed. The additional capacity is expected to become operational during the third quarter of FY2027.
In parallel with the manufacturing expansion, Lineage Power is developing a dedicated container fabrication facility to strengthen backward integration. The facility, scheduled to commence operations in the second quarter of FY2027, will enable in-house fabrication of BESS containers, improving supply chain control, manufacturing flexibility and execution efficiency while supporting the timely delivery of utility-scale energy storage projects.
The expansion programme is supported by the company’s growing order pipeline. Pace Digitek reported an executable order book worth ₹11,337.9 crore and an executable energy storage pipeline of 5.32 GWh, providing long-term business visibility. The company expects the manufacturing scale-up to enhance execution readiness, meet rising demand across multiple energy storage applications, increase the contribution of manufacturing-led revenues and improve operating leverage through greater scale and vertical integration.
Commenting on the development, Venugopal Rao Maddisetty, Chairman and Managing Director of Pace Digitek Limited, said the company’s manufacturing expansion is being driven by increasing execution visibility, a strengthening order book and sustained demand across the energy storage market.
He noted that the additional 2.5 GWh manufacturing line is nearing commissioning, while work on the next phase towards 10 GWh capacity is already underway. Maddisetty added that investments in manufacturing expansion and backward integration, including the in-house container fabrication facility, are expected to strengthen supply chain resilience, improve operational efficiency and enhance the company’s ability to execute utility-scale, grid-scale and commercial and industrial energy storage projects.
He further said the company remains focused on building a scalable and integrated energy storage platform that combines manufacturing, system integration and project execution capabilities, positioning Pace Digitek to capitalise on the long-term opportunities emerging from India’s energy transition.
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