State-owned power producer NTPC Ltd informed that it has terminated the contracted awarded to GR Infraprojects Ltd (GRIL) for building the 400 Megawatt-hour (MWh) battery energy storage system (BESS) project at its Mouda Super Thermal Power Station (Maharashtra) citing the latter’s inability to meet their contractual obligations and achieve required project progress.

The project – with a contract value of ₹413.37 crore – was awarded in March this year and was scheduled to be completed within fifteen months.

The contract stands terminated with immediate effect.

Explaining the cause for terminating the contract, NTPC stated, “The project witnessed significant delay in critical activities. A contractual notice was issued to GRIL calling for immediate corrective action, but GRIL failed to undertake the required remedial measures.”

NTPC added that it has encashed approximately ₹91 crore from the bank guarantees.

The power producer added that it has re-initiated re-tendering of the project.

“NTPC is taking necessary measures on priority to facilitate the early re-award and timely implementation of the project,” it stated.