PGCIL Subsidiary Granted Transmission License for 2 GW RE Projects in Gujarat

CERC has granted a transmission license to a PGCIL subsidiary to establish transmission system for providing connectivity to 2 GW of RE Projects in Gujarat

The Central Electricity Regulatory Commission (CERC) has granted a transmission license to Powergrid Bhuj Transmission Limited (PBTL), a wholly-owned subsidiary of Power Grid Corporation of India (PGCIL) to establish the transmission system for providing connectivity to renewable energy (RE) Projects at Bhuj-II (2 GW) in Gujarat on a Build, Own, Operate and Maintain (BOOM) basis.

Based on the competitive bidding carried out by PFC Consulting Limited (PFCCL) in accordance with the Guidelines issued by the Ministry of Power. PGCIL had emerged as the successful bidder with the lowest levelised transmission charges of Rs 1237.67 million per annum. The Commission after considering the application of the Petitioner in the light of the provisions of the Act and the Transmission Licence Regulations in its order dated January 24, 2020, prima facie proposed to grant the license to the Petitioner.

The commission noted that in its previous order, it had proposed to grant a transmission license to the Petitioner company and directed for the issue of public notice. In response to the public notice, no suggestions/objections have been received. Central Transmission Utility (CTU) in its letter dated December 6, 2020, had recommended for grant of transmission license to the Petitioner.

“We are satisfied that the Petitioner company meets the requirements of the Act and the Transmission Licence Regulations for grant of transmission license for the subject transmission system of this order. Accordingly, we direct that Transmission Licence be granted to the Petitioner, Powergrid Bhuj Transmission Limited, to establish ‘Transmission System for providing connectivity to RE Projects at Bhuj-II (2000 MW) in Gujarat’ on Build, Own, Operate and Maintain basis as per the details given above,” it said.

The grant of transmission license to the Petitioner is subject to the fulfilment of the following conditions throughout the period of license:

• The transmission license shall, unless revoked earlier, remain in force for a period of 25 years;
• The transmission licensee shall comply with the provisions of the Transmission Licence Regulations or any subsequent enactment thereof and the terms and condition of the TSA during the period of subsistence of the license.
• The licensee shall not enter into any contract for or otherwise engage in the business of trading in electricity during the period of subsistence of the transmission license;
• The licensee shall provide non-discriminatory open access to its Transmission System for use by any other licensee, including a distribution licensee or an electricity trader, or generating company or any other person in accordance with the Act, CERC Regulations.

The commission has also ordered that the Central Electricity Authority (CEA) shall monitor the execution of the Project and bring to the notice of the Commission any lapse on the part of the licensee to meet the schedule for further appropriate action in accordance with the provisions of the Act and Transmission Licence Regulations.

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