India Grid Trust (IndiGrid) has received the letter of intent for two interstate transmission system (ISTS) schemes, won through the tariff-based competitive bidding (TBCB) mechanism.
In a release, IndiGrid said that it has received letters of intent from REC Power Development & Consultancy Ltd (RECPDCL) for construction of two greenfield inter-state transmission projects, won through the TBCB mechanism.
Both the projects are to be developed on Build, Own, Operate and Transfer (BOOT) basis for a period of 35 years. With a total estimated capital expenditure of over Rs.1,000 crore, both projects have a construction timeline of around 24 months each.
The first project, with annual transmission charges of Rs.53 crore post commissioning, is for evacuation of power from the Dhule 2GW renewable energy zone. The project includes construction of a 400/220 kV pooling station of 4×500 MVA capacity along with a 400kV double-circuit line of around 70 km.
The second project, with annual transmission charges of about Rs.62.50 crore post commissioning, is for establishment of the Western Region Expansion Scheme XXXIII (WRES-XXXIII) Part-C. The project includes construction of two substations in Madhya Pradesh — a 765/400 kV substation of 2×1500 MVA capacity and a 400/220kV substation of 2×500 MVA capacity — and a LILO single circuit 765kV double-circuit line of 18 km.
The substations are designed to cater to the electricity demand of the proposed green hydrogen plant in the nearby area, loads in Chhatarpur, Tikamgarh and Jatara areas and for interconnection of NTPC’s 630 mw Barethi solar plant.
Project SPVs
According to information available with T&D India but not part of the IndiGrid release, the two projects discussed above would be housed respectively under project SPVs “Dhule Power Transmission Ltd” and “Ishanagar Power Transmission Ltd”. These SPVs are currently wholly-owned subsidiaries of RECPDCL and would be transferred to IndiGrid, in due course.
Tremendous growth
Commenting on the acquisition, Harsh Shah, Chief Executive Officer, and Whole Time Director of IndiGrid, said, “India’s transmission sector is witnessing tremendous growth to cater to the increased energy demand and higher evacuation needs from existing and upcoming renewable generation centers. Over the years, IndiGrid has developed its capability for the development of greenfield projects. Greenfield projects provide us with an opportunity to drive growth and pipeline while ensuring asset quality and reliability. We have created a robust balance sheet and headroom for growth with recent capital raise.”
Also read: IndiGrid Raises Rs.670 Crore Through Institutional Placement
Featured photograph (source: IndiGrid) is for representation only.
