NTPC terminates 400 MWh BESS contract at Mouda thermal power plant over contractor default

NTPC Ltd has terminated the contract awarded to GR Infraprojects Ltd (GRIL) for the 400 MWh battery energy storage system (BESS) project at Mouda Super Thermal Power Station, Maharashtra, due to the contractor’s failure to meet its contractual obligations and achieve the required project progress.

The project, awarded in March 2026 at a total contract value of INR 413.37 crore, was scheduled for completion within 15 months. However, the project witnessed 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,” stated NTPC. “Accordingly, NTPC has terminated the contract with immediate effect and, in line with contractual provisions, has encashed available securities amounting to around INR 91 crore.”

NTPC said the project remains a key initiative to strengthen grid flexibility and support renewable energy integration.

NTPC has already initiated action for re-tendering the project at the risk and cost of GRIL, in accordance with the applicable contractual provisions. It is taking necessary measures on priority to facilitate the early re-award and timely implementation of the project.

The BESS Mouda project is part of NTPC’s broader efforts to deploy battery energy storage alongside its conventional generation assets. The company has been pursuing BESS projects across multiple locations as storage assumes a larger role in balancing India’s increasingly renewable-heavy power system.

NTPC, a public sector company, with the Government of India holding a majority stake in the company, is India’s largest integrated energy company with an installed capacity of over 91 GW. The company is leading the charge toward a sustainable future, targeting 60 GW of renewable energy capacity by 2032 and investing in emerging technologies such as nuclear power, battery energy storage, carbon capture, and green chemicals.