Image Source: PSU Watch
Power Grid Corporation of India Ltd (POWERGRID), India’s premier transmission utility, has been declared the successful bidder for the critical inter-state transmission project of loading the 765 kV Vindhyachal-Varanasi double-circuit (D/C) transmission line. Additionally, the company has secured key transmission projects under the Tariff-Based Competitive Bidding (TBCB) framework, reaffirming its leadership in power grid infrastructure and critical national projects.
Key Highlights:
POWERGRID won the bid for the prestigious Vindhyachal-Varanasi 765 kV D/C transmission line, a vital link strengthening the electricity corridor between Madhya Pradesh and Uttar Pradesh, supporting power evacuation from key generation hubs.
The Vindhyachal-Varanasi line project facilitates enhanced power transfer capacity, grid reliability, and integrates renewable and conventional energy sources efficiently to meet increasing demand.
The project falls under the TBCB bidding route, a competitive market mechanism promoting transparency, efficiency, and cost-effectiveness in transmission infrastructure development.
Beyond Vindhyachal-Varanasi, POWERGRID clinched multiple interstate transmission system projects through TBCB, including reinforcement and augmentation of transmission assets in Rajasthan, Gujarat, and other states to support the expanding demand and green energy integration.
These projects are awarded on a Build, Own, Operate, and Transfer (BOOT) basis, enabling POWERGRID to deploy advanced technologies and operational expertise while optimizing resource allocation.
Letters of Intent (LoIs) for the awarded projects were issued in early 2025, with POWERGRID progressing rapidly on project execution to meet stringent timelines aligned with India’s ambitious 500 GW renewable energy targets by 2030.
The company continues to enhance its vast transmission network spanning over 1,80,000 circuit kilometers and transformation capacity exceeding 577,000 MVA, serving as the backbone of India’s power sector.
Financially, POWERGRID’s resilience is exemplified by recent dividend payments exceeding Rs 574 crore to the Ministry of Power for FY 2024-25, highlighting robust cash flows and consistent returns to shareholders.
Market and Strategic Outlook:
POWERGRID’s victories in the TBCB process strengthen its bottom line and market position as India’s premier transmission service provider, securing indispensable infrastructure projects essential for uninterrupted power supply and grid stability.
The Vindhyachal-Varanasi project complements national power corridor enhancement programs and ongoing efforts to facilitate large-scale renewable energy evacuation, balancing regional grids and enhancing grid flexibility.
The company’s BOOT model under TBCB fosters innovation and efficient project management, enabling POWERGRID to meet evolving grid demands, reduce transmission losses, and support India’s green energy transition.
In summary, POWERGRID’s designation as a successful bidder for the 765 kV Vindhyachal-Varanasi D/C line and multiple TBCB projects underscores its critical role in powering India’s sustainable growth, infrastructure modernization, and energy future.
Sources: Business Standard, Economic Times Energy, Power Grid official releases, Angel One, CNBC TV18 (September 2025)
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