Vikram Solar Board Clears ₹4,371 Cr Phase I Capex for Tamil Nadu BESS Unit

Kolkata-based Vikram Solar’s Board of Directors has approved a capital expenditure of approximately ₹4,371 crore. The company said in a regulatory filing that the investment will be undertaken through its subsidiary, VSL Powerhive Private Limited, under Phase 1 of its Battery Energy Storage System (BESS) roadmap.

In line with Vikram Solar’s plan to commission the project during the ongoing quarter, Powerhive’s long-term roadmap envisages phased manufacturing capacity expansion. The planned capacity includes the establishment of 30 GWh of battery cell, module/pack, and BESS manufacturing facilities. As part of Phase 1, VSL Powerhive will commission a 5 GWh BESS manufacturing facility at Oragadam, Tamil Nadu, by FY27. 

The company is also further advancing backward integration into battery cell manufacturing, establishing a 7.5 GWh cell manufacturing capacity scheduled to be fully operational by FY29, subject to receipt of applicable statutory and regulatory approvals. 

A core component of this venture will be a dedicated Research and Development (R&D) lab, tasked with developing future-ready battery products and innovative solutions to maintain market leadership. The proposed capital expenditure shall be funded through a combination of debt and equity as may be determined by the Board of Directors from time to time, subject to applicable approvals. 

Vikram Solar Expands Renewable Energy Portfolio

Vikram Solar has previously commissioned a 5-GW solar module manufacturing facility at Vallam in Tamil Nadu, taking its total installed manufacturing capacity to 9.5 GW. Its Tamil Nadu plant is a 27,000 sq. m facility, is based on TOPCon technology, and is designed for future upgrades to HJT.

These modules can produce modules across M10, G12, and G12R formats. Vikram Solar, earlier this year, also announced plans to enter battery manufacturing besides cell making, with a 1 GWh solid-state battery making plan. The Vallam plant expands the company’s footprint in Tamil Nadu, where it already operates a facility in Oragadam and recently began work on another site in Gangaikondan.