Bondada Engineering Limited has achieved a major milestone by securing a Letter of Award (LOA) from the Transmission Corporation of Andhra Pradesh Limited (AP TRANSCO) for the development of a large-scale Standalone Battery Energy Storage System (BESS) at the 400/220 kV substation in Hindupur, Anantapur District, Andhra Pradesh. This project marks a significant expansion of the company’s presence in India’s renewable energy infrastructure sector, particularly in the fast-growing energy storage market.
The project involves setting up a 225 MW/450 MWh system under the Build-Own-Operate (BOO) model. This model allows Bondada Engineering to own and operate the asset, creating a long-term annuity-based revenue stream. The structure is expected to enhance revenue stability and cash flow visibility, providing predictable returns over the coming years. The total contract value for this project is approximately Rs. 627 crore.
Bondada Engineering is expected to complete the construction within 18 months from the receipt of the LOA. Once operational, the facility will contribute to the company’s revenues through stable, long-term annuity income. This marks a strategic shift from a construction-led revenue model to an operational annuity model, which is likely to enhance shareholder value and provide greater earnings visibility.
With this addition, Bondada Engineering’s cumulative BESS portfolio has reached nearly 1 GWh, positioning the company as a strong player in India’s grid-scale energy transition and storage infrastructure initiatives. The order has been awarded by a domestic entity and does not involve any interests from promoters or group companies, ensuring it is not a related-party transaction.
Discover more from SolarQuarter
Subscribe to get the latest posts sent to your email.
