Bharat Heavy Electricals Limited (BHEL) has been awarded a contract worth over Rs 13,500 crore (excluding GST) by NTPC Limited for the main plant package of the 3×800 MW Telangana Stage-II supercritical thermal power project in Peddapalli district, Telangana. The Notification of Award (NOA) was issued on March 29, 2026, following a Limited Notice to Proceed (LNTP) granted in November 2024 for preliminary engineering work.
The contract encompasses the design, engineering, manufacturing, supply, erection, commissioning, and testing of critical components, including the boiler, turbine, and generator, along with associated civil and structural works. The project is scheduled to be completed within 62 months from the NOA date.
Awarded through international competitive bidding, BHEL clarified that the transaction does not involve related-party dealings. The Telangana Stage-II project will expand NTPC’s capacity by 2,400 MW through three 800 MW supercritical units, complementing the existing Phase-I (2×800 MW) at the Ramagundam Super Thermal Power Station, which is already operational.
Phase-II will adopt ultra-supercritical technology and be developed within the current plant premises, with an additional 246.858 hectares allocated for ash dyke construction. Annual coal demand is estimated at 11.7 million tonnes at a 90% plant load factor (PLF), with Singareni Collieries Company Limited (SCCL) recommended as the primary supplier. Power evacuation will occur via a 765 kV system, integrated with Phase-I infrastructure to enhance operational flexibility.
The project aligns with NTPC’s broader strategy to expand its renewable and thermal energy portfolio while leveraging existing infrastructure for cost efficiency.