BHEL Signs Technology Transfer Pact With NSTL-DRDO To Boost Naval Systems Capabilities
Bharat Heavy Electricals (BHEL) has entered into a Licensing Agreement for Transfer of Technology (LAToT) with the Naval Science & Technological Laboratory (NSTL-DRDO), Vishakhapatnam, on April 28, 2026. The agreement enables BHEL to fabricate, install, and commission the LM2500 Gas Turbine Infrared Suppression System (GT-IRSS) for naval vessels, strengthening its defence manufacturing footprint.

Bharat Heavy Electricals (BHEL) has entered into a Licensing Agreement for Transfer of Technology (LAToT) with the Naval Science & Technological Laboratory (NSTL-DRDO), Vishakhapatnam, on April 28, 2026. |
New Delhi: India’s push for indigenous defence manufacturing gets a fresh boost as BHEL steps into a strategic technology partnership with a key DRDO lab.
Expands Defence Capabilities
BHEL has formalized a technology transfer agreement with NSTL-DRDO to work on the LM2500 Gas Turbine Infrared Suppression System for naval vessels. The move positions the company to handle fabrication, installation, and commissioning of this advanced system. This development marks a clear step toward expanding BHEL’s role beyond its traditional power and industrial segments into high-value defence manufacturing.
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Focus On Specialized Systems
The agreement centers on the GT-IRSS, a critical technology designed to reduce infrared signatures in naval vessels. By integrating this system, vessels become less detectable, enhancing operational security. The partnership is entirely domestic, aligning with India’s broader goal of building self-reliant defence capabilities. While financial and contractual details remain confidential, the technical scope highlights a strong focus on niche, high-impact defence solutions.
Driven By Strategic Diversification
The collaboration reflects BHEL’s ongoing diversification strategy. Management sees defence as a natural extension of its engineering expertise. By acquiring this technology, the company can leverage its manufacturing strengths to deliver complex defence systems. Officials indicated that the transfer of technology will allow BHEL to build in-house capabilities, reducing dependence on external suppliers and enhancing execution control in sensitive projects.
Aligns With Make In India
The agreement also supports the government’s ‘Make in India’ initiative by promoting indigenous development and production of defence equipment. Partnering with NSTL, a DRDO laboratory, ensures that the technology remains within the domestic ecosystem. This move is expected to strengthen India’s defence supply chain while opening new growth avenues for BHEL in a competitive and strategically significant sector.
BHEL’s latest agreement signals a steady shift toward defence-led growth, reinforcing its ambition to become a diversified engineering major with a stronger foothold in national security projects.
Disclaimer: This article is based solely on the contents of the uploaded corporate filing document and does not include external sources, additional reporting, or independent verification.
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