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Chinese co Envision Group mulls India battery plant as storage demand rises – EQ

Chinese co Envision Group mulls India battery plant as storage demand rises – EQ

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In Short : Envision Group, a Chinese renewable-energy giant active in India, is considering establishing a battery-manufacturing plant in India with a planned 5 GWh per year capacity. The proposed $34 million unit would assemble battery racks and related infrastructure locally while importing cells from China. The move is aimed at meeting India’s growing demand for energy storage to support renewables and strengthen grid stability.

In Detail : The Envision Group, already a major wind-turbine manufacturer in India, is evaluating setting up a battery-making facility in the country, a strategic step prompted by surging demand for energy storage as India expands its renewable energy capacity.

The envisaged plant would cost around $34 million and is being planned with an annual storage capacity of about 5 GWh — a scale that signals serious intent rather than a small pilot.

Under the proposal, Envision would import battery cells from China but undertake local assembly of battery racks and development of software infrastructure within India. This hybrid manufacturing-localization model balances global supply chain strengths with local value addition.

According to the company’s global head for contracts, a final decision on whether to proceed hinges on how rapidly the Indian storage market evolves — with a potential decision timeline of 18 months.

The push for battery plants aligns with broader national energy needs. Currently, India’s lack of adequate energy-storage infrastructure hampers its ability to fully harness renewable generation — excess solar or wind power often has to be curtailed because there isn’t sufficient storage capacity.

Industry estimates suggest that India’s battery storage capacity — modest today — could grow substantially over the coming years, potentially reaching tens of gigawatts as demand from grid balancing, renewable integration, storage-as-service, and EV charging increases.

The proposed plant by Envision could help reduce dependency on imported ready-made battery systems by localizing assembly and parts of the value chain — a shift that may support government efforts towards energy-security and local manufacturing in clean energy.

However, Envision’s leadership also cautioned about inexperienced companies aggressively bidding for battery-storage tenders, warning that technical and commercial capability will be essential for actual project delivery — underscoring that not all new entrants may succeed.

Anand Gupta Editor - EQ Int'l Media Network