Premier Energies Limited has signed a binding term sheet with RCT Energy India Private Limited, a subsidiary of Germany’s RCT Group, to set up a joint venture for a 12 GWh battery energy storage system (BESS) manufacturing plant in Telangana, marking Premier Energies’ strategic expansion into the energy storage sector.
The new manufacturing facility will be developed by Premier Battery Technologies Private Limited, the wholly-owned subsidiary of Premier Energies. The project will be implemented in two phases: the first phase with a production capacity of 6 GWh is scheduled to be commissioned in FY 2027-28 at Seetharampur, Telangana, and will be further expanded to a total capacity of 12 GWh upon completion of the second phase.
The joint venture entity, named Premier Energies Storage Solutions Private Limited, will focus on the design and production of BESS products tailored for commercial, industrial and utility-scale scenarios. Positioned as an export-oriented manufacturing platform, the facility will serve both the fast-growing domestic market of India and global international markets.
The two parties have agreed on a phased shareholding structure. Premier Battery Technologies will hold an 85% equity stake in the joint venture, while RCT India will hold the remaining 15%. Additionally, RCT India retains an option to acquire an extra 5% stake, which will adjust the equity ratio to 80:20. Both sides aim to finalize all formal agreements, including the shareholders’ agreement, within 30 days of signing the binding term sheet.
The strategic collaboration integrates Premier Energies’ solid local manufacturing capabilities with RCT Group’s profound global energy industry experience, professional engineering expertise and mature international supply chain network. The partnership is committed to developing high-quality, globally competitive BESS solutions to meet diversified energy storage demands worldwide.
Chiranjeev Saluja, Managing Director of Premier Energies Limited, emphasized the strategic significance of the project. “Energy storage has become an indispensable demand for India’s power system. As India continuously scales up renewable energy installation, BESS will underpin the construction of a reliable, resilient and sustainable power ecosystem. Our long-term cooperation with RCT empowers us to seize opportunities in the booming energy storage market. We aim to build world-class BESS manufacturing capabilities in India and deliver competitive products for both domestic and global markets.”
