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Bharat Heavy Electricals Limited Wins Rs1,200–1,500 Crore Captive Power Project from Steel Authority of India Limited
Feb 18, 2026
Order covers turnkey execution of CPP Package-1 at IISCO Steel Plant, Burnpur, as part of capacity expansion plan. Bharat Heavy Electricals Limited (BHEL) has secured a Letter of Acceptance (LoA) valued between Rs1,200 crore and Rs1,500 crore from Steel Authority of India Limited (SAIL) for a captive power plant (CPP) package at SAIL’s IISCO Steel Plant in Burnpur, West Bengal.
According to a regulatory filing, the order pertains to CPP Package-1, which forms part of the 4.08 million tonnes per annum (MTPA) crude steel expansion programme at the Burnpur facility.
The scope of work includes comprehensive turnkey execution of the package — covering design, engineering, manufacturing, supply, erection, commissioning and performance guarantee testing. Civil works are excluded from the contract.
The project is expected to be completed within 39 months from the effective date of the agreement. The award further strengthens BHEL’s presence in large-scale industrial power infrastructure projects, particularly within the steel sector.
The captive power facility will support the expanded production capacity at the IISCO Steel Plant, ensuring reliable power supply for enhanced operations.