Two ISTS-TBCB schemes in Gujarat facing “single-bidder” status now proposed under RTM
- February 28, 2025
Stuck with “single-bidder” status despite extension in bidding timelines, two ISTS-TBCB schemes will now come up under the regulated tariff mechanism (RTM) mode.
In its latest meeting, National Committee on Transmission (NCT) proposed the deployment of RTM framework for two interstate transmission system (ISTS) schemes originally planned to come up under the tariff-based competitive bidding (TBCB) mode.
Both the schemes relate to augmentation works at the Bhuj-II Pooling Station in Gujarat, and Power Grid Corporation of India Ltd (PGCIL) was the sole bidder in each case. Incidentally, PFC Consulting Ltd (PFCCL) was the bid process coordinator for both the schemes.
Both the schemes will now be implemented by Powergrid Bhuj Transmission Ltd (PBTL), which is a TBCB-subsidiary of PGCIL.
The broad details of the two schemes are:
Scheme: Augmentation of transformation capacity at Bhuj-II PS (GIS)
Project SPV: Bhuj II Transmission Ltd
Location: Gujarat
Estimated Cost: Rs.428 crore
Bid process coordinator: PFCCL
RfP notification: April 2024
Scheme: Provision of ICT augmentation and bus reactor at Bhuj-II PS
Project SPV: Bhuj ICT Transmission Ltd
Location: Gujarat
Estimated Cost: Rs.587 crore
Bid process coordinator: PFCCL
RfP notification: October 2024
NCT approval
While NCT has autonomously approved the “Bhuj II Transmission” scheme for implementation under RTM by PBTL, the second scheme “Bhuj ICT Transmission Ltd” has been forwarded to the Union power ministry (MoP) for final approval. It may be noted that NCT can autonomously clear ISTS schemes costing up to Rs.500 crore but needs MoP approval for schemes with estimated cost of over Rs.500 crore.
PBTL
Powergrid Bhuj Transmission Ltd was incorporated as “Bhuj-II Transmission Ltd” as a wholly-owned subsidiary of bid process coordinator PFCCL to implement an ISTS-TBCB scheme known as “Transmission system for connectivity to RE projects at Bhuj-II (2,000 MW) in Gujarat.”
PGCIL, the winning developer under TBCB, acquired the said project SPV in October 2019 and subsequently renamed it to “Powergrid Bhuj Transmission Ltd.”
The scheme, mainly involving setting up of the Bhuj-II GIS Pooling Station, was commissioned in November 2022.
From TBCB to RTM
It may be mentioned that prior to these two schemes, an ISTS-TBCB scheme in Rajasthan, incorporated under “Bhadla and Bikaner Complex Transmission Ltd,” was struck off the TBCB framework for similar reasons. This scheme will now be developed under the RTM mechanism by PGCIL with no TBCB subsidiary involved. (Read T&D India story dated December 11, 2024).
TBCB Guidelines
In November 2024, NCT proposed a new working rule for dealing with ISTS-TBCB projects that contend with the situation of no bidder or single bidder, despite extension in timelines. This was done to ensure that ISTS-TBCB projects stuck at the bidding stage do not remain in indefinite abeyance. Adopting the RTM route for such TBCB projects is a main element of the working rule. (Read full story)
Featured photograph (source: GE Vernova T&D India Ltd) is for representation only
