NLC India Floats Massive Tender for 2x500 MW Thermal Power Plant Expansion in Tamil Nadu

New Delhi: NLC India Ltd, a government enterprise under the Ministry of Coal, has invited global bids for a major Engineering, Procurement and Construction (EPC) contract to build a 2x500 MW thermal power plant expansion at its Neyveli Thermal Power Station-II in Tamil Nadu. The project is estimated to be worth ₹5,000-7,000 crore.

What's at Stake?

The winning contractor gets complete responsibility for designing, building, and commissioning the entire plant. The scope covers everything from manufacturing key equipment like boilers and turbines to civil construction, electrical works, and final commissioning.

Key Requirements for Bidders:

Strong Technical Track Record: Bidders must have designed/supplied a lignite-fired boiler of 1500+ tonnes/hour capacity and a 500+ MW steam turbine-generator set.
'Make in India' Must: Foreign manufacturers must partner with or have an Indian subsidiary/JV for manufacturing. Equity must be locked in for at least 7 years.
Financial Muscle: Bidders need an average annual turnover of ₹2,400+ crore and available credit lines of ₹2,050+ crore.
Balance of Plant Experience: Experience in handling critical plant systems like fuel and ash handling is mandatory.

Project Timeline:

First Unit: Trial operation within 50 months, full commissioning within 53 months from contract award.
Second Unit: Trial operation within 56 months, full commissioning within 59 months.

Important Clauses:

Local Content Preference: Contractors with over 50% local manufacturing get price preference.
Security Deposit: 10% of contract value as performance guarantee.
Pre-Bid Meeting: Interested parties must register 2 days in advance.

Why This Matters:

This is one of India's largest power plant tenders in recent times and will significantly boost Tamil Nadu's power generation capacity. The project is expected to attract major global and domestic power sector companies, with strict 'Make in India' provisions ensuring technology transfer and local manufacturing growth.

The tender documents are available on NLC India's website and the e-procurement portal. Bid submission deadline will be announced shortly.