India added over 28 GW of renewable energy capacity in 2024, bringing the total to around 210 GW. However, to reach its 2030 target of 500 GW of non-fossil fuel energy and ensure a smoother energy transition, battery energy storage systems must complement renewables by addressing their intermittency.

In this exclusive interview with Mercom India, Satish Reddy, Founder and CEO of Hyderabad-based XBattery, a manufacturer of lithium-ion battery packs to help homes, businesses, electric vehicles, and grids store energy, provides his thoughts on India’s energy storage ecosystem.

Can you give us a brief overview of Xbattery’s products and services?

Xbattery is building India’s first high-voltage Battery Management System (BMS) along with lithium-ion battery packs specifically designed for India’s environment and demanding conditions. BharatBMS, the flagship product, supports an 800v architecture compared to the market average of 72v, making it suitable for large-scale energy storage and high-end EV applications. Xbattery also manufactures modular battery packs of 5 kWh (home/SME) and 50 kWh (industrial/commercial) capacities, providing critical power backup, a ten-year lifespan, and extreme heat resistance from -30°C to 60°C.

Xbattery has already secured significant orders, including a ₹36 million (~$426,297)  deal with solar and real estate developers, validating our market traction. Xbattery is in talks with multiple auto OEMS and BESS system integrators about integrating BharatBMS into their battery packs.

For a typical Indian household, how long can a 5 kWh battery provide backup power? What is the current market price for a residential battery of this size?

A typical Indian home can expect 12-24 hours of backup from a 5-kWh lithium battery pack powered by BharatBMS, which is significantly better than conventional lead-acid UPS solutions, depending on appliance load.

Moreover, we offer backup for heavy appliances like ACs and lifts and can recharge in two hours, unlike 12 hours for lead-acid batteries. Systems of these specifications cost between ₹115,000 (~$1,362) and ₹150,000 (~$1,776) in the market, but due to Xbattery’s localized supply chains and technology, we have 10% lower costs than imports and up to 70% total cost of ownership savings in comparison to lead acid systems.

What are the ideal commercial applications for your 50 kWh battery? What size businesses can it support, and what is its price range?

Xbattery’s 50 kWh battery is engineered for critical commercial and industrial settings such as hospitals, apartment complexes, manufacturing units, and commercial buildings requiring reliable, high-power backup. With instant switching and the ability to run heavy-duty equipment, it can seamlessly replace or supplement diesel generators. It also acts as a critical building block in the large-scale BESS deployments. Our system’s 800v platform and digital twin-based analytics ensure operational resilience, safety, and remote monitoring.

Target users include facilities with high uptime requirements or sensitive equipment needing a continuous, uninterrupted power supply. The price is approximately ₹1 million (~$11,868). The modular architecture is scalable, supporting series and parallel setups for larger energy storage needs.

How do you assess the current state of the battery energy storage landscape in India?

India’s battery energy storage market is driven by rising demand for grid resilience and increased use of renewables to generate electricity, requiring efficient energy storage solutions. While the sector is projected to reach $10 billion across behind-the-meter and grid-scale applications by 2030, there’s still heavy reliance on imported components, especially Battery Management Systems from China.

Domestic players, including Xbattery, are bridging the gap with indigenous innovation and development, offering advanced and locally built BMS and battery packs optimized for Indian conditions. With orders secured and increasing government focus on R&D, the landscape is maturing, but a technology gap persists in core electronics and system integration. Policy support for startups, streamlined certification, and talent development will be critical for self-reliance.

Where do you see the greater opportunity—in behind-the-meter (BTM) solutions or grid-scale storage? How is Xbattery preparing to address this opportunity?

Both segments are expanding rapidly, but immediate opportunities lie in BTM storage. Residential, SME, commercial, and industrial consumers facing unreliable grid supply and depending on diesel are accelerating BTM adoption. Xbattery’s modular BMS and battery packs target these needs with scalable, high-performance solutions. As grid-scale front-of-meter policies evolve, we pilot 50 kWh systems with public sector undertakings (PSU) and plan a roadmap for larger deployments. Our software-driven platform ensures future readiness for integration with renewables, virtual power plants, and grid services, positioning us for leadership as India’s storage ecosystem matures.

The Ministry of Heavy Industries recently mandated the domestic production of key EV components like Battery Management Systems, PCB assemblies, semiconductor integration, and firmware flashing. Does the Indian industry have the capability and capacity to meet this mandate?

India is making steady progress in PCB fabrication, assembly, and IC development, but advanced BMS and semiconductor integration remain bottlenecks. Most established players still import high-voltage BMS or rely on repurposed Western systems.

Broader industry readiness will require deeper R&D investment, state-backed testing labs, and upskilling. With proper support, India can build a robust supply chain and global competitiveness in battery electronics.

India continues to rely on imports from countries like China and the U.S. for critical battery components. Could the uncertainty surrounding U.S. energy policy under the Trump administration affect the stability of these imports?

Absolutely. India’s continued reliance on imports for core battery tech, especially from China, which supplies over 75% of global BMS, creates real supply chain uncertainties and vulnerabilities. As of today, there is no direct impact; however, such dependencies risk project delays and price volatility, as seen during the 2020–21 COVID supply chain shocks. This reinforces the urgency for indigenous manufacturing and local value addition, which would insulate us from surprise tariff shocks.

How is Xbattery aligning with India’s focus on boosting domestic manufacturing and reducing dependency on Chinese technology?

Xbattery’s BharatBMS is designed, developed, and manufactured in India. With most of our electronics being locally produced, there is a significant reduction of costs, elimination of uncertainty from tariffs, and global logistics and supply chain dependencies. We work closely with auto OEMs, solar integrators, and PSUs to build a resilient supply chain. Security is also a top priority, and all operational data stays within India, addressing rising concerns about data privacy. By promoting and funding local R&D, manufacturing, and partnerships, we’re actively reducing excessive national reliance on imported Chinese technology.

Do you believe the Production Linked Incentive (PLI) scheme for battery storage has been successful in achieving its objectives?

The PLI program has boosted investment in battery assembly and gigafactories. However, more is needed at the deep-tech R&D level, especially in BMS and advanced power electronics. Most funded projects still rely on imported technology. Locally developed solutions demonstrate the importance and impact of targeted R&D towards indigenous innovation at par with global best practices, but industry-wide adoption will require faster certification, further government support, expanded R&D grants, and more lucrative incentives. For long-term self-reliance, the policy must prioritize not just cell assembly but also the indigenization of cell manufacturing, electronics, and software, which are the real value chain drivers in battery storage systems.

What additional policy measures would you recommend to strengthen India’s battery energy storage ecosystem?

India should double down on R&D funding for BMS, cell engineering, and power electronics. It should also create national battery testing and certification hubs and launch skilling initiatives in battery technology and analytics. Policy should incentivize end-to-end localization, right from sourcing raw materials to finished packs, while supporting deep-tech startups through grants and low-interest loans. Accelerating standardization and ensuring data security can also make India a global leader in battery innovation.