JSW Energy has begun construction of its Battery Energy Storage Systems (BESS) project, marking its entry into the energy storage services sector, as per a statement issued by the company. Shares of JSW Energy rose 2.3% in intraday trade to ₹630.00 apiece on the BSE.

The battery storage project of 1.0 GWh (Gigawatt per hour) awarded by the Solar Energy Corporation of India Limited (SECI), is set to be commissioned by June 2025. It includes two installations, each with a 500 MWh capacity, designed to store energy for two hours per cycle. Battery Energy Storage Systems (BESS) are critical technologies that allow energy from renewable sources like solar and wind to be stored and released when needed most.

The project will follow a Build Own Operate and Transfer (BOOT) model, with ownership transferring to the offtaker after 12 years, as stated by the company in its release.

JSW Energy has also been allotted a capacity of 6,800 tons per annum (TPA) under the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme by SECI. Moreover, a Memorandum of Understanding (MoU) has been signed with JSW Steel to supply an additional 85,000 to 90,000 TPA of green hydrogen and 720,000 TPA of green oxygen annually by 2030, the company states.

In addition to battery storage, JSW Energy is advancing its ventures in green hydrogen and green steel. “The company is spearheading the development of the largest commercial-scale green hydrogen project in India and first in the country for making green steel,” JSW Energy states.

The company has secured a seven-year agreement to supply JSW Steel with 3,800 tons of green hydrogen annually, along with associated green oxygen. The detailed engineering and equipment procurement are complete, with commissioning expected in the fourth quarter of 2024-25. 

Sharad Mahendra, joint managing director and CEO of JSW Energy, said: “JSW Energy is making significant strides in becoming an energy products and services company. Our green hydrogen project not only underscores our commitment to reducing carbon emissions but also positions us at the forefront of industrial decarbonisation by leveraging sustainable energy solutions. Furthermore, our Battery Energy Storage System project represents a crucial advancement in enhancing grid stability and integrating renewable energy sources, further solidifying our leadership in innovative energy solutions.”

“JSW Energy has total locked-in generation capacity of 13.3 GW comprising 7.3 GW operational, 2.6 GW under-construction across wind, thermal and hydro and pipeline of 3.4 GW,” JSW Energy adds.

Aiming to achieve a generation capacity of 20 GW and 40 GWh of energy storage capacity by 2030, JSW Energy is committed to becoming carbon neutral by 2050. The company also has 3.4 GWh of committed energy storage capacity through its battery energy storage system and hydro pumped storage projects. 

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