Key Highlights
- Dilip Buildcon declared L1 bidder for 400 kV Mekhali sub station and transmission project in Karnataka.
- Project awarded by REC Power Development and Consultancy Limited on BOOT basis.
- Transmission assets to be developed under tariff based competitive bidding route.
- Concession period fixed at 35 years from commercial operation date.
- EPC value for Dilip Buildcon estimated at ₹1,850 crore excluding GST.
Dilip Buildcon Limited has emerged as the lowest (L1) bidder for a major intra state power transmission project in Karnataka, reinforcing its position in India’s power infrastructure sector.
The company has been selected by REC Power Development and Consultancy Limited, acting as the bid process coordinator on behalf of the Government of Karnataka, for establishing a 400 kV sub station at Mekhali along with associated transmission lines in Belagavi district.
The project scope includes the development of a 400/220/33 kV air insulated sub station and associated 400 kV and 220 kV transmission lines. It will be implemented under the Build Own Operate and Transfer model through the tariff based competitive bidding route.
As part of the project structure, Dilip Buildcon will acquire 100 percent equity in the project special purpose vehicle and act as the transmission service provider responsible for development, ownership, operation and maintenance of the transmission assets. The concession period has been fixed at 35 years from the commercial operation date.
Construction and commissioning are expected to be completed within 24 months from the effective date, in line with request for proposal conditions. The project follows a tariff based annuity framework, offering long term revenue visibility.
The engineering, procurement and construction value attributable to Dilip Buildcon for this project is estimated at ₹1,850 crore, excluding GST. The company has confirmed that the transaction does not fall under related party arrangements and that promoter entities have no interest in the awarding authority.
The latest win further strengthens Dilip Buildcon’s power transmission portfolio and aligns with its strategy to expand long duration infrastructure concession assets across India.