Coal India Limited has secured a major clean energy project, marking an important step in its ongoing efforts to expand beyond coal-based operations. The development was officially shared in a regulatory filing dated March 28, 2026, submitted to the Bombay Stock Exchange and the National Stock Exchange of India.
The company has received a Letter of Award (LOA) from Telangana Power Generation Corporation Limited for setting up a Battery Energy Storage System (BESS) project in Choutuppal, Telangana. This project will have a storage capacity of 750 MWh and will deliver 187.5 MW of power for four hours. The project highlights the growing importance of battery storage in ensuring a stable and reliable electricity supply, especially with the increasing share of renewable energy in the grid.
As per the details shared in the filing, the total estimated cost of the project is around Rs. 1,057.09 crore. The contract has been awarded at a tariff of Rs. 3.14 lakh per MW per month. Being a domestic project awarded by a state-owned company, it reflects strong cooperation within India’s power sector to support modern energy infrastructure and grid stability.
The terms of the LOA require Coal India Limited to complete all necessary formalities within 15 days. This includes submitting required documents and signing the Battery Energy Storage Purchase Agreement (BESPA). The company will also need to provide a Performance Bank Guarantee (PBG) as part of the agreement. Once the BESPA is signed, the project is expected to be completed within 18 months.
Coal India Limited has clarified that this contract does not involve any promoter or related party interest, ensuring transparency and adherence to corporate governance standards. The official communication was signed by B.P. Dubey, Executive Director and Compliance Officer of the company.
This project reflects Coal India’s strategic shift towards clean energy solutions, as it aims to balance its traditional coal business with emerging technologies like battery energy storage, which are becoming essential for India’s energy transition.
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