Mumbai, Sept. 23 -- The Rs.4.13 billion contract, awarded in March 2026, was scheduled for completion within 15 months to support India's energy transition goals.
In what amounts to a stern warning to its contractors, state-run NTPC Ltd has terminated the agreement awarded to GR Infraprojects Ltd (GRIL) for the 400-MWh battery energy storage system (BESS) project at Mouda Super Thermal Power Station in Maharashtra. India's largest integrated power company cited failure to meet obligations and project milestones as the primary reasons behind the decision.
The Rs.4.13 billion contract, awarded in March 2026, was scheduled for completion within 15 months to support India's energy transition goals. But the project faced significant delays in critical activities.
"A contractual notice was issued to GRIL calling for immediate corrective action, but GRIL failed to undertake the required remedial measures. Accordingly, NTPC has terminated the contract with immediate effect and, in line with contractual provisions, has encashed available securities amounting to approximately Rs.910 million," NTPC said in a September 19 statement.
The project remains strategically important for strengthening grid flexibility and integrating renewable energy. NTPC has initiated re-tendering at the risk and cost of GRIL, in line with contractual provisions, and is prioritising early re-award to ensure timely implementation.
The Mouda BESS project is part of NTPC's broader push to deploy energy storage alongside conventional generation assets. The company has been pursuing BESS projects across multiple sites as storage becomes critical to balancing India's increasingly renewable-heavy power system.
Published by HT Digital Content Services with permission from Infrastructure Today.