Bharat Heavy Electricals(BHEL) has received an order worth ₹600 crore to ₹900 crore from Power Grid Corporation of India for setting up synchronous condensers at the Barmer-II HVDC Terminal Station in Rajasthan.
In a regulatory filing dated November 7, BHEL said it had received a Notification of Award (NOA) from Power Grid, acting on behalf of its project special purpose vehicle (SPV), for the establishment of two synchronous condenser units with a capacity of +300/-200 MVAR each.
The project is valued at ₹600 crore to ₹900 crore, excluding Goods and Services Tax (GST).
Under the contract, BHEL will undertake the design, engineering, manufacturing, supply, erection, testing and commissioning of the two synchronous condenser units at the Barmer-II HVDC Terminal Station.
The company has been given 44 months to execute the order. BHEL classified the contract as a domestic order.
The filing also clarified that the promoters or promoter group companies have no interest in the entity awarding the contract. The order does not fall under related-party transactions.
What are synchronous condensers?
Synchronous condensers are rotating electrical machines used to support power system stability. They help manage reactive power, regulate voltage and improve the reliability of electricity transmission networks.
These systems are particularly relevant to high-voltage direct current (HVDC) transmission infrastructure, where voltage control and grid stability are important for reliable power transmission.
The Barmer-II HVDC Terminal Station is the location identified for the installation of the two units under the latest contract.BHEL share price
Shares of BHEL closed at ₹416 on the BSE on Friday, November 7, down ₹1.75 or 0.42% from the previous close. The stock opened at ₹416 during the session and has a 52-week high of ₹463.60 and a 52-week low of ₹239.25.
BHEL is a government-owned engineering and manufacturing company operating in the power and industrial equipment sectors. Its operations include the manufacture and supply of equipment and execution of projects across the power generation and transmission value chain.