VA Tech Wabag Limited has received a GST demand order from tax authorities in Uttar Pradesh related to alleged excess Input Tax Credit claims for the financial year 2019-20. The company disclosed this development through a regulatory filing under SEBI listing regulations.

GST Demand Details

The demand order dated March 06, 2026, was issued by the Office of the Deputy Commissioner, GST Commissionerate, Uttar Pradesh under Section 74 of the CGST Act, 2017. The order addresses alleged excess ITC claims for FY 2019-20.

Company's Response and Impact

VA Tech Wabag has indicated that it will pursue appropriate legal remedies against the GST demand order. The company plans to file an appeal with the appropriate authority to contest the order. According to the regulatory disclosure, the company has assessed that there is no material impact on its financial, operations, or other activities due to this demand.

Regulatory Compliance

The disclosure was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI circular no. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. Company Secretary and Compliance Officer Anup Kumar Samal signed the regulatory filing on behalf of the company.

Next Steps

The water treatment solutions provider will now focus on preparing its legal challenge against the GST demand order. The company's legal team will work on filing the appeal with the appropriate GST appellate authority to contest the allegations of excess ITC claims for the specified financial year.

VA Tech Wabag Limited has incorporated a new subsidiary company to execute a compressed bio-gas project in Uttar Pradesh. The water treatment solutions provider announced the formation of Ghaziabad Bioenergy Private Limited on February 16, 2026, as a joint venture with PEAK Sustainability Partners LLP.

Subsidiary Structure and Capital Details

The newly incorporated subsidiary has been established with specific shareholding arrangements and capital structure designed for the bioenergy project.

Project Scope and Industry Focus

The subsidiary operates as a special purpose vehicle established specifically for compressed bio-gas operations. The company will execute the Compressed Bio-Gas (CBG) project on a Build-Operate-Transfer (BOT) basis at Dundaheda, Ghaziabad, Uttar Pradesh. This venture represents Wabag's expansion into the bio-CNG, biogas, and compressed bio-gas industry segments.

Regulatory Compliance and Documentation

The incorporation follows proper regulatory procedures with registration completed through the Registrar of Companies, Chennai, India. VA Tech Wabag has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, providing comprehensive details about the subsidiary formation.

Business Operations Status

The subsidiary company has yet to commence business operations, with current turnover standing at nil. As a newly incorporated entity, Ghaziabad Bioenergy Private Limited does not have historical financial performance data for the past three years. The company will provide updates on further developments and post-execution of definitive agreements as the project progresses.

This strategic move into the bioenergy sector aligns with the growing focus on sustainable energy solutions and waste-to-energy projects in India's renewable energy landscape.