Power Mech Projects announced the annulment of a tender by the West Bengal State Electricity Distribution Company Limited (WBSEDCL) for a 250 MW/ 1000 MWh Battery Energy Storage System. Consequently, the Letter of Award (LoA) dated January 08, 2026, issued to its subsidiary, PM Green Private Limited, has been rescinded. The decision was due to administrative exigencies, and all bank guarantees have been fully released without forfeiture. This impacts the company’s order book by a reduction of Rs. 1,563 crores.
Cancellation of Major Power Tender
Power Mech Projects Limited has formally notified stock exchanges regarding the cancellation of a significant tender process initiated by the West Bengal State Electricity Distribution Company Limited (WBSEDCL). The tender was for the development of a 250 MW/ 1000 MWh Standalone Battery Energy Storage System located at Goaltore.
Impact on Wholly Owned Subsidiary
As a direct result of the annulment, the Letter of Award (LoA) previously issued on January 08, 2026, to PM Green Private Limited, a wholly owned subsidiary of Power Mech, has been formally rescinded. The company clarified that this action was attributed to administrative and procedural exigencies arising from circumstances beyond the control of either party, confirming there was no default or non-compliance by the bidder.
Financial Implications
Consequent to the cancellation, Power Mech confirmed that the Bid Security and Performance Bank Guarantee submitted by the subsidiary have been released in full, without any deductions or forfeitures. Furthermore, the announcement specifies that the company’s order book value will experience a reduction amounting to Rs. 1,563 crores due to the annulment of this order.
Compliance and Record Keeping
The intimation, dated March 25, 2026, serves as a formal record for both the National Stock Exchange of India Limited and BSE Limited. The document was duly signed by M. Raghavendra Prasad, Company Secretary and Compliance Officer.
Source: BSE
