The Comptroller Auditor General (CAG) in a recent report has observed that Power Grid Corporation of India Ltd (PGCIL) made its long-term plans only with respect to “transmission capacity” whereas it should have looked into “total transfer capacity” instead.
The CAG report (No.9 of 2020) titled “Planning and implementation of transmission projects by Power Grid Corporation of India Ltd” observes that two parameters— “transmission capacity” and “transfer capacity” are relevant for assessing the capacity of interregional corridors. This reported was very recently tabled in Parliament.
Transmission capacity of a corridor is arrived at by adding the ratings of all transmission lines connecting two regions. Transfer capacity on the other hand, is the ability of a corridor, as a whole, to reliably move power from one region to another.
CAG said that the National Electricity Policy 2012 (NEP 2012) stipulates that the transmission capacity being summation of capacities of inter-regional links is a figurative representation of the bonds between the regions and does not indicate actual power transfer capacity across different regions/states.
Thus, transmission capacity, has no meaningful role in indicating capacity of corridors to handle power flows. However, PGCIL assessed the need for augmentation of capacity of interregional corridors based on ‘Transmission Capacity’ only and does not fix targets or monitors augmentation of Total Transfer Capacity (TTC), although as per CERC Regulations declaration of TTC for four years is required to be done by PGCIL on 31 March each year.
CAG, however, observed that PGCIL fixed targets and prepared plans only for the transmission capacity to be augmented over a period but no targets were fixed or declaration made for achieving the transfer capability in long term. In the absence of the declaration of TTC for four years as per the regulatory requirements, there was no benchmark to assess the actual performance of the company in terms of its capability to transfer power.
It was observed that at the end of XII Plan Period (which is March 31, 2017), TTC of different corridors ranged between 19.97 per cent and 83.66 per cent of their respective transmission capacity. In the absence of the declaration of TTC for four years as per the regulatory requirements, there was no benchmark to assess the actual performance of the company in terms of its capacity to transfer power.
Audit further observed that in some corridors, despite significant addition to transmission capacity in XII Plan {ER-NR (8,900 mw) and WR-SR (10,600 mw)}, TTC in terms of percentage to transmission capacity actually decreased from 25.56 per cent to 19.97 per cent in ER-NR corridor and from 65.79 per cent to 40.76 per cent in WR-SR corridor.
