NBCC Bags ₹498 Crore Deal for Jharkhand Township Project

NBCC has been granted a contract with the Damodar Valley Corporation (DVC) to construct an integrated township at the Chandrapura Thermal Power Station in Jharkhand to the tune of ₹498.30 crore.

The contract, which is reported in a regulatory filing, places all the full-scale project-management consultancy (PMC) responsibilities on NBCC, including planning, design oversight, and implementation oversight.

This contract highlights the growing PMC capacities of NBCC, which is one of the three main areas of its operations EPC (engineering, procurement, and construction) and real estate. NBCC attested that the order does not entail any related-party transactions or is not classified as extraordinary business of the organization.

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Financially, the timing is advantageous. During the Q3, NBCC registered the 25 percentage year-on-year increase in consolidated net profit to 156.68 crore owing to robust increase in total income. The township deal does not only enhance the status of NBCC in regards to large-scaled infrastructure, but it also goes in line with its growth strategies. This move, in terms of industry, puts an emphasis on increased collaboration of public-sector utilities with construction companies in terms of urban infrastructure.

DVC entrusts PMC to NBCC, which demonstrates that it trusts the latter in its work on complex township projects. The order increases the backlog of NBCC and makes it a player in urban development led by PSU. Comprehensively, the recent contract of NBCC confirms its competitive edge in the management of large-scale infrastructure projects and underlines the growing importance of the PMC services in the Indian context of the construction by the governmental contractors.