Bid process coordinator PFC Consulting Ltd (PFCCL) has prequalified bidders for five ISTS-TBCB schemes, the final awards of which are expected by end of March 2025.
According to a study by T&D India, PFCCL, over the recent past, has prequalified bidders for opening of initial price bids for as many as five interstate transmission system (ISTS) schemes that are being awarded under the tariff-based competitive bidding (TBCB) route.
The total estimated cost of these five schemes is around Rs.14,000 crore and these schemes have an individual completion period of 24-36 months.
Power Grid Corporation of India Ltd (PGCIL), Adani Energy Solutions Ltd (AESL) and Resonia (formerly Sterlite Power) have qualified for each of the five schemes.
Tata Power, Techno Electric & Engineering Company Ltd, Megha Engineering Infrastructures Ltd and Reliance Industries Ltd represent the other bidders in the race for one or more of the five schemes.
Reliance Industries Ltd (RIL) has qualified for opening of initial price bids for a transmission scheme envisaging supply of renewable energy to upcoming green hydrogen units at Kandla in Gujarat. This is the third ISTS-TBCB scheme for which RIL has come in the final race. RIL was first seen amongst bidders for Jamnagar Transmission Ltd, which eventually went to AESL. Later, it qualified and eventually clinched Lakadia B Transmission Ltd.
The ISTS-TBCB scheme housed under “Kurnool III PS RE Transmission Ltd” has five prequalified bidders. Apart from the three aforementioned bidders that have qualified for each of the five schemes, the two others for this scheme are Tata Power and Megha Engineering. Interestingly, these very five bidders are also in the final race for another related ISTS-TBCB incorporated under “Kurnool-IV Transmission Ltd” for which REC Power Development & Consultancy Ltd (RECPDCL) is the bid process coordinator.
The summary of finalists for the five PFCCL schemes under discussion is tabulated here:
The broad details of the five ISTS-TBCB schemes are as follows:
Project SPV: NER Expansion Transmission Ltd
Scheme: North-Eastern Region Expansion Scheme – XXV Part-A (NERES-XXV Part-A)
Location: Assam
Estimated cost (Rs. crore): 825
Gestation period (months): 36
Project SPV: Kurnool III PS RE Transmission Ltd
Scheme: Transmission system for strengthening at Kurnool III PS for integration of additional RE generation projects
Location: Andhra Pradesh
Estimated cost (Rs. crore): 2,886
Gestation period (months): 24
Project SPV: Kandla GHA Transmission Ltd
Scheme: Transmission system for supply of power to green hydrogen/ammonia manufacturing potential in Kandla area of Gujarat (Phase-I: 3 GW)
Location: Gujarat
Estimated cost (Rs. crore): 2,775
Gestation period (months): 36
Project SPV: Mundra I Transmission Ltd
Scheme: Transmission system for supply of power to Green hydrogen/ammonia manufacturing potential in Mundra area of Gujarat under Phase-I: Part B1 scheme (3 GW at Navinal substation)
Location: Gujarat
Estimated cost (Rs. crore): 2.817
Gestation period (months): 36
Project SPV: Anantapur II REZ Transmission Ltd
Scheme: Transmission system for integration of Anantapur-II REZ – Phase-I (for 4.5 GW)
Location: Andhra Pradesh
Estimated cost (Rs. crore): 4,679
Gestation period (months): 24
Hectic activity in FY25
Going by current trends, it appears that a significant number of ISTS-TBCB schemes are likely to be formally transferred to successful developers in March 2025, the last months of the ongoing fiscal year FY25. Apart from the five PFCCL schemes discussed in this story, there are seven other ISTS-TBCB schemes that are in various stage of bidder finalization, including three in which PGCIL has received the letter of intent or has been named L1 bidder.
Even by conservative estimates, it is likely that at least six ISTS-TBCB schemes will be formally transferred to successful developers in the remaining period of March 2025, taking the FY25 total to 42. This would mean that as of March 31, 2025, around 50 per cent of the ISTS-TBCB schemes under construction would be those that have been awarded in FY25 alone.
In FY25 so far, which is from April 1, 2024 to March 3, 2025, T&D India estimates that 36 ISTS-TBCB schemes have been formally transferred to successful bidders by bid process coordinators RECPDCL and PFCCL, with PGCIL being the market leader with a tariff share of around 52 per cent.
Also read: PFCCL incorporates SPV for green hydrogen ISTS scheme in Andhra Pradesh
Featured photograph (source: CG) is for representation only
