Dilip Buildcon Limited (DBL) has been declared the L-1 (lowest) bidder for a major power transmission project in Karnataka. The company announced the development to the BSE and NSE on December 26, 2025, marking another important addition to its growing infrastructure portfolio.
Project Overview
The project involves establishing a 400 kV sub-station at Mekhali, along with associated transmission lines in Belagavi district, Karnataka. Once completed, the project is expected to strengthen the state’s power transmission network and improve grid reliability.
Who Awarded the Project?
The project has been awarded by REC Power Development and Consultancy Limited (RECPDCL), which acted as the Bid Process Coordinator on behalf of the Government of Karnataka.
Execution Model: BOOT Structure
Unlike a standard EPC contract, this project will be executed under a Build, Own, Operate and Transfer (BOOT) model through the Tariff Based Competitive Bidding (TBCB) route.
Under this structure:
Dilip Buildcon will acquire 100% equity in the project’s Special Purpose Vehicle (SPV)
The SPV will act as the Transmission Service Provider (TSP)
DBL will be responsible for the asset over a long operating period before transferring it back to the government
Scope of Work
The scope of the project is comprehensive and includes:
Development and financing
Design and engineering
Procurement and construction (EPC)
Testing and commissioning
Operation and maintenance of the transmission assets
The infrastructure includes a 400/220/33 kV AIS sub-station along with 400 kV and 220 kV transmission lines.
Project Cost and Timeline
EPC Cost: ₹1,850 crore (excluding GST)
Revenue Model: Tariff-based annuity
Construction Period: 24 months from the effective date
Total Concession Period: 35 years from the Commercial Operation Date (COD)
Regulatory Compliance
The disclosure was made in accordance with Regulation 30 of SEBI’s LODR Regulations, 2015. DBL confirmed that there is no promoter or group company interest in the awarding entity, and the project does not involve related-party transactions.
As per insider trading norms, the trading window for company securities was closed for 48 hours following the announcement.