The Power Grid Corporation of India Limited (PGCIL) has won two contracts to set up transmission infrastructure to evacuate power generated from renewable projects. PGCIL emerged as the successful bidder under tariff-based competitive bidding to establish the transmission system and the letters of intent have also been issued.
PGCIL will set up the transmission system for providing connectivity to renewable energy projects at Bhuj-11 (2,000 MW) in Gujarat on a build, own operate and maintain (BOOM) basis. The transmission system comprises a 765/400 kV gas-insulated substation and 765 kV of transmission lines in the state.
The company will also develop transmission systems associated with LTA application from Rajasthan Solar Energy Zone (SEZ) Part – C, on BOOM basis. The transmission system comprises a 765/400 kV substation and 765 kV and 400 kV transmission lines that traverse Rajasthan, Haryana, and Delhi.
When completed, this transmission network will be a substantial effort by PGCIL to address the transmission woes faced by renewable developers in India.
Recently, Mercom reported that Adani Transmission Ltd received two letters of intent to augment the country’s transmission network in the face of surging renewable additions. One letter was issued by PFC Consulting Limited for a transmission project in Rajasthan while another was issued by REC Transmission Projects Company for a transmission project in Gujarat.
Lack of transmission infrastructure has been a growing concern for solar, and wind companies and Mercom reported on this issue several times.
In the past, Mercom has written about how with the expected surge in electricity demand over the coming decade and the rapid installation of solar and wind, India’s transmission and distribution system also requires significant expansion.
Recently, Mercom reported the Minister of Power, R.K. Singh, stating that “A working group for the expeditious implementation of renewable energy generation and associated transmission system has been constituted by the government.”
Moreover, to meet the increasing amount of power generation and power demand in India, a few months ago the Central Electricity Authority (CEA) published in its National Electricity Plan (NEP) an important blueprint to develop the transmission systems in the country. Based on the analysis, about 110,000 circuit kilometers of transmission lines and about 383,000 MVA of transformation capacity in the substations at 220kV and above voltage levels are required to be added.
Image credit: PGCIL
Saumy is a senior staff reporter with MercomIndia.com covering business and energy news since 2016. Prior to Mercom, Saumy was a copy editor at Thomson Reuters. Saumy earned his Bachelors Degree in Journalism & Mass Communication from the Manipal Institute of Communication at Manipal University. More articles from Saumy Prateek.