SC declines L&T’s plea challenging Sharavathi power project in Karnataka

SC on Sharavathi power project: The Supreme Court has declined to entertain a petition filed by Larsen & Toubro Ltd, an engineering and construction company, challenging the short-term tender issued for the construction of Karnataka's Sharavathi pumped storage power project valued at Rs 8,000 crore.

A bench led by Chief Justice D Y Chandrachud, alongside justices J B Pardiwala and Manoj Misra, upheld the Karnataka High Court's decision dated April 25, which also dismissed L&T's plea against the tender floated by Karnataka Power Corporation Limited (KPCL).

In its verdict, the high court underlined that electro-mechanical and hydro-mechanical works are integral to the project, highlighting that L&T, solely a civil contractor, lacked eligibility to execute these aspects without the involvement of specialised agencies.

L&T had contended in its appeal that the tender process was conducted arbitrarily, perversely, and unreasonably.

Addressing L&T's concerns, the high court noted the absence of evidence demonstrating the company's collaboration with expert agencies, a prerequisite for undertaking such specialized tasks.

Meanwhile, infrastructure firm Megha Engineering and Infrastructure (MEIL) announced securing the 2,000-megawatt project, emphasizing the significance of the Sharavathi River as a crucial source of hydroelectric power in Karnataka.

With a projected total power generation capacity of 2000 MW, the project is poised to be the nation's largest pump storage power generation facility, aimed at addressing Karnataka's power shortages.

(With PTI inputs)