Power Grid Corporation of India Ltd (PGCIL), on March 27, 2025, formally acquired the project SPV of an interstate transmission system (ISTS) scheme in Andhra Pradesh, from bid process coordinator PFC Consulting Ltd (PFCCL).
PGCIL emerged as the winning developer for the scheme under the tariff-based competitive bidding (TBCB) mode.
Housed under “Kurnool-III PS RE Transmission Ltd,” this ISTS-TBCB scheme is formally termed as “Transmission system for strengthening at Kurnool III PS for integration of additional RE generation projects,” and will take shape entirely in Andhra Pradesh.
Bidding process
According to information available with T&D India, PGCIL won this scheme annual quoting transmission charge of Rs.3,445.60 million, which will be fixed for the entire duration of the transmission service agreement.
It is further learnt that while five bidders (PGCIL, Adani Energy Solutions, Resonia, Tata Power and Megha Engineering) were qualified for opening of initial price bids, only one bidder (name yet unknown) apart from PGCIL, participated in the e-reverse auction process.
Project outline
The overall project, estimated to cost Rs.2,886 crore, is divided into three packages with full project commissioning envisaged for December 2027. The principal project element would be augmentation of the existing Kurnool-III Pooling Station in Andhra Pradesh by adding four ICTs of 765/400kV, 1500 MVA, taking the total number of such ICTs at the PS to seven. Besides, there would be a 765kV double-circuit line, running 260 km, from Kurnool-III PS to the Chilakaluripeta substation.
The scheme aims to meet growing ISTS connectivity requests of RE developers at the Kurnool-III PS. It may be mentioned that the existing Kurnool-III PS was built by PGCIL under the regulated tariff mechanism (RTM).
PGCIL’s FY25 scorecard
According to estimates made by T&D India, PGCIL in FY25 so far (April 1, 2024 to March 27, 2025) has acquired 26 ISTS-TBCB schemes, out of a total of 44 such schemes formally acquired by winning developers from their respective bid process coordinators.
Also read: PGCIL to expand capacity at Tuticorin-II Pooling Station in Tamil Nadu
