SWREL Plans Major Expansion Into Solar+BESS and Hybrid Wind Projects Amid Falling Storage Costs Sterling & Wilson Renewable Energy Limited (SWREL) is planning to give a fresh thrust to new solar plus battery energy storage system (BESS) projects and hybrid wind projects. 

The renewable energy EPC company announced this strategic focus during its latest investor call, with top management outlining the reasons behind this new direction. CK Thakur, the Global CEO of SWREL, attributed this strategic shift to the dwindling costs of energy storage and the favorable bid pipeline of the Indian government, besides the ambitious BESS targets of the country. 

The firm is also focusing on BESS projects for international clients in Europe and South Africa.

Strategic Focus on BESS and Hybrid Projects

"Over and above the solar EPC pipeline, we will continue to target BESS projects and select hybrid wind EPC projects as well. Our international pipeline also appears very promising, and we have been focusing on select PV and BESS projects in Africa and Europe," Thakur told investors during the call. 

The company's strategic expansion comes as it maintains strong operational performance. In Q1, SWREL commissioned 1 GW of renewable projects with the commissioning of its projects in Gujarat and Rajasthan, despite delays owing to the India-Pakistan border conflicts.

Financial Position and Order Book

SWREL is currently sitting with an unexecuted order book of Rs 8,348 crore as of June 2025. The company has around 88% of its orders from the domestic market, while the rest are international orders, mainly from Europe and South Africa. 

This substantial order book provides a strong foundation for the company's expansion into new technology areas, particularly as it seeks to diversify beyond traditional solar EPC projects.

Dramatic Cost Reduction in Battery Storage

Thakur highlighted the significant economic factors driving the company's focus on BESS projects. "Encouragingly, the cost of battery storage has come down dramatically from INR 10 lakh to around INR 2.5 lakh per megawatt per month, making it more viable than ever before," he said. Despite this progress, India's installed BESS capacity remains modest at just 205 megawatt. 

Thakur noted that a significant pipeline is building up, with 3.3 gigawatts of projects already lined up and another 12.5 gigawatt currently under various stages of the tendering process. The country has established an ambitious target of 74 GW of BESS capacity by 2031-32, creating substantial opportunities for companies like SWREL to expand their operations in this sector.

International Market Opportunities

"On the international EPC side, we are increasingly seeing attractive opportunities opening up primarily in Africa and Europe. We are also seeing a good number of European BESS projects to complement the renewable spurt seen in the market. Our current progress in ongoing projects has also been very positive," Thakur said. 

The company's international expansion strategy focuses on select markets where renewable energy adoption is accelerating, particularly in regions where BESS technology can provide grid stability and energy security benefits.