Dilip Buildcon Secures 400 kV Sub-Station Project in Karnataka

Dilip Buildcon Limited has been selected as the successful bidder by REC Power Development and Consultancy Limited (RECPDCL) for establishing a 400 kV sub-station at Mekhali, Belagavi District, Karnataka. 

The project will also include associated 400 kV and 220 kV transmission lines and will be executed under a 35-year Build, Own, Operate and Transfer (BOOT) model. RECPDCL, acting as Bid Process Coordinator on behalf of the Government of Karnataka, awarded the project under a Tariff Based Competitive Bidding (TBCB) route.

Key Terms and Execution

Under the agreement, Dilip Buildcon will acquire 100% equity of the Project Special Purpose Vehicle (SPV) and serve as the Transmission Service Provider (TSP) responsible for development, ownership, operation, and maintenance of the intra-state transmission system. 

The scope covers development, financing, design, engineering, procurement, construction, testing, commissioning, and ongoing operation and maintenance of transmission assets. The project is to be completed within 24 months from the Effective Date of the contract, as stipulated in the Request for Proposal (RFP).

Financial and Operational Details

The project will be executed under a tariff-based annuity model, providing a predictable revenue stream for Dilip Buildcon over the contract period. The Engineering, Procurement, and Construction (EPC) cost for the project is estimated at ₹1,850 crore, excluding GST. 

The award involves a domestic entity, and there are no related-party interests or transactions associated with the project, ensuring transparency and compliance with regulatory norms.

Strategic Importance

The Mekhali sub-station project strengthens Karnataka’s power transmission infrastructure, enhancing grid reliability and supporting future electricity demand growth in the Belagavi district. 

The project aligns with Dilip Buildcon’s focus on infrastructure development in the power sector, leveraging its expertise in large-scale transmission projects executed on BOOT and TBCB models.

Dilip Buildcon Share Price Performance

On December 26, 2025, Dilip Buildcon share price (NSE: DBL) opened at ₹469.90, up from its previous close of ₹465.70. At 10:29 AM, the share price of Dilip Buildcon was trading at ₹470.85, up by 1.11% on the NSE.

Also Read: Dilip Buildcon Secures 1,363.55 MW Solar Project Worth ₹4,900 Crore!

Conclusion

With this award, Dilip Buildcon reinforces its position as a key player in India’s power transmission sector, combining technical expertise, financial acumen, and operational excellence to deliver critical infrastructure projects efficiently and sustainably.

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