Hyderabad-based energy storage company Cygni Energy has operationalized the first phase of its 4.8 GWh Battery Energy Storage System (BESS) gigafactory in Maheshwaram, Hyderabad.

The factory will produce high-capacity battery packs for electric vehicles and energy storage systems. The advanced BESS systems will cater to large grid-scale stationary storage projects and independent power producers.

The factory plans to increase the factory’s capacity to 10.8 GWh by 2027 under the second phase.

The 1,60,000 sq. ft was set up with an investment of ₹1 billion (~$11.81 million).

Cygni has earmarked ₹1.5 billion (~$17.7 million) for the second phase.

The factory has a fully automated line for grid-scale energy storage solutions and has an order book of 1 GWh from BESS developers and automotive customers.

The automated line uses globally recognized best practices such as Poka-Yoke-enabled stations and end-to-end traceability.

It also has an environmental design-qualified facility equipped with an advanced engineering lab and battery management system lab.

The company plans to grow exponentially in energy storage in India and internationally over the next few years.

In the second phase, the company will add three additional automated 2 GWh cell-to-pack manufacturing lines and container integration facilities to their existing lines to meet the rising demand for stationary and e-mobility storage applications.

Cygni plans to provide advanced high-capacity energy storage solutions featuring modular, scalable designs integrated with machine learning for predictive analysis.

It will also utilize digital twin technology for real-time monitoring, high-performance energy management systems, seamless smart grid-code integration, and precision-engineered manufacturing.

The company, through its partnership with IIT-Madras, leverages research on futuristic technologies and batteries such as cell-to-pack and cell-to-chassis design architectures, sodium-ion batteries, and super-capacitors.

So far, Cygni has manufactured and delivered 500 MWh of batteries for the power and energy segment.

The company has a production line capable of manufacturing 105 kWh liquid-cooled base modules using advanced 314Ah cells.

With the growing share of variable solar and wind power in the energy mix, BESS is emerging as a critical enabler, helping bridge the gap between generation and consumption while maintaining grid balance.

According to Mercom Capital Group’s Q1 2025 Funding and M&A Report for Energy Storage, corporate funding for energy storage companies, including venture capital, debt, and public market financing, totaled $2.2 billion across 31 deals in Q1 2025.