Patel Engineering Declared Lowest Bidder for ₹1,593 Crore Hydropower Project in Nepal
Mumbai, April 2023, 2026: Patel Engineering Limited (PEL), a Mumbai-based infrastructure firm, has been declared the lowest bidder (L1) for a major contract involving the 669 MW Lower Arun Hydropower Project in Nepal. The contract, valued at ₹1,593.08 crore (including VAT), was awarded by SJVN Lower Arun Power Development Company (P) Ltd. (SLPDC), a wholly owned subsidiary of India’s SJVN, the company said in a press release.
The contract, designated as Package-2, covers the execution of critical civil and hydro-mechanical works that are essential to the project’s operation. The scope includes the construction of a 5.41-kilometer Head Race Tunnel, a surge shaft, a pressure shaft, and the powerhouse. Additionally, Patel Engineering will be responsible for the switchyard, tail race channel, and the installation of steel liners and gates. These components are designed to ensure efficient water conveyance and long-term operational reliability for the 669 MW facility.
Located near Tumlingtar in the Sankhuwasabha District of Nepal, the project is strategically positioned approximately 264 km from Siliguri, India. The construction is scheduled for completion within a 54-month timeframe. The site is notably situated just 35 km away from the Arun-3 Hydropower project, where Patel Engineering is already maintaining operations.
Commenting on the milestone, Kavita Shirvairkar, Managing Director, Patel Engineering, expressed the company’s commitment to the region’s energy goals. She stated:
“We are pleased to begin Q1 FY27 on a positive note, having been declared L1 for this important order of approximately ₹1600 Crores. Nepal holds immense hydroelectric potential, and the Lower Arun project is a significant step toward harnessing that energy for sustainable growth. For Patel Engineering Ltd., this award is not just about building infrastructure – it is about contributing to Nepal’s vision of energy independence and regional prosperity. With our ongoing work at Arun-3 Hydropower project just about 35 kms away from Lower Arun Site and our proven track record across India, we are committed to bringing world-class engineering and timely execution to Lower Arun, ensuring it becomes a benchmark for development in the region.”
The Lower Arun project is expected to serve as a cornerstone of Nepal’s hydroelectric infrastructure, supporting the country’s vision for sustainable energy. For Patel Engineering, the win strengthens its international portfolio and reaffirms its expertise in executing complex hydro-mechanical projects in challenging terrains.
