State-owned power utility NTPC has rejected Larsen & Toubro’s (L&T) bid for a Rs 20,000-crore tender for supplying power equipment, reports said, adding L&T’s disqualification is technical in nature as the company participated through its subsidiary L&T Power, which has no expertise in manufacturing supercritical equipment.

L&T has been disqualified on technical grounds in NTPC’s tender for 11 sets of supercritical boilers (and turbines) and the consequent re-tendering has invigorated other boiler manufacturers. Further, L&T also lost another bid to supply supercritical turbines worth Rs 5,000 crore to NTPC as L&T Power lacks expertise in making turbines.

Responding to queries, an L&T spokesperson told FE, ?We have no intimation on this from NTPC and we have no comments to make.?

Reacting to the news, shares of L&T on Wednesday slipped 3.08% to close at Rs 1,765.10 on the Bombay Stock Exchange.

According to reports, the issue relates to the creation of 11 thermal power stations based on supercritical technology at five locations ?? a government programme handled by NTPC.

For tender supplying boilers for power plants, NTPC received two bids from L&T and Bhel. But after L&T’s disqualification, it has essentially become single bid from Bhel, and NTPC is likely to call fresh bids for the 11 supercritical boilers.