Hyderabad’s Megha Engineering Bags Rs 8,005 Crore Sharavathi Pumped Storage Project

Hyderabad-based Megha Engineering and Infrastructures (MEIL) on Monday said it had bagged the 2,000-megawatt Sharavathi pumped storage power project spanning across Shivamogga and Uttara Kannada districts of Karnataka.

The Sharavathi River is a vital hydroelectric power source in Karnataka, contributing 40 per cent (1,469.2 MW) of the state's hydropower through its seven existing dams and five tunnels.

The pumped storage project, which aims to increase power generation through innovative technology, involves repetitive pumping of water through eight hydropower plants, each having a capacity of 250 MW, culminating in a total planned capacity of 2,000 MW.

It is slated for implementation downstream of Linganamakki reservoir and Gerusoppa Reservoir. It involves the construction of an extensive underground tunnel and eight power-generating units.

With a planned total power generation capacity of 2,000 MW, it will be the country’s largest pumped storage power generation unit.

The tendering period, initiated on 2 February 2024, lasted a mere 21 days, prompting Larsen & Toubro (L&T) to challenge the expedited process.

L&T contended that the tender duration fell short of the mandated 30 days for projects exceeding Rs 2 crore, as stipulated by the Karnataka Transparency in Public Procurements Rules, 2000.

However, a bench comprising Chief Justice D Y Chandrachud and justices J B Pardiwala and Manoj Misra upheld the 25 April order of the Karnataka High Court that had declined the petition by L&T against the tender by Karnataka Power Corporation Limited (KPCL).

"It also saw L&T's stiff resistance as they moved Supreme Court over it but their plea was rejected and the contract awarded to MEIL," the company said.