PFC Consulting, a wholly-owned subsidiary of Power Finance Corporation, has announced the transfer of two interstate transmission systems (ISTS) projects to evacuate 40 GW of power from renewable energy zones in Rajasthan to Apraava Energy.

Apraava had won the auction to develop the Fatehgarh III and Fatehgarh IV transmission projects earlier this year and was issued a letter of intent on March 29, 2023.

The Fatehgarh III transmission project will establish a 230 km 400 kV D/c transmission line connecting Fatehgarh 3 to Badla 3 to evacuate 20 GW of power from the renewable energy zone in Rajasthan under Phase-III, Part A1.

Fatehgarh IV transmission includes a 5×500 MVA pooling substation (Fatehgarh 4) to support the transmission network and around 22 km of 400 kV D/c transmission line connecting Fatehgarh 4 to Fatehgarh 3 to evacuate 20 GW of power from renewable energy zone in Rajasthan under Phase-III, Part A3.

The company had quoted ₹147.3 million (~$1.78 million) for the Fatehgarh III transmission project and ₹74.22 million (~$896,390) for Fatehgarh IV.

Apraava will be responsible for the projects’ ownership, financing, development, design, engineering, procurement, construction, commissioning, operation, and maintenance. It will provide transmission services for 35 years before transferring them to the Central Transmission Utility.

The construction timeline for both projects is 18 months.

The tender was floated in February last year.

Commenting on the successful bids, Rajiv Ranjan Mishra, Managing Director of Apraava Energy, said, “These two wins will further enhance our capabilities in the transmission business and help accelerate our growth strategy.”

“As India witnesses an increasing share of renewable energy, the need for a robust transmission network to evacuate this power is also growing, and we are well-placed to contribute to this need. Apraava will work closely with stakeholders in Rajasthan and the Central Transmission Utility to successfully build the networks and contribute to India’s green goals,” he said.

If Apraava fails to start commercial operation on time, the company will have to pay the nodal agency a sum equivalent to 3.33% of the monthly transmission charges applicable for the project for each day of delay up to 60 days of delay and beyond that, at the rate of 5% of the monthly transmission charges, as liquidated damages.

The projects align with the government’s vision to harness renewable energy resources effectively. With Rajasthan being a prominent renewable energy zone, successfully implementing these transmission ventures will be crucial in evacuating the state’s growing energy generation.

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