In Short : The Financial Express article titled “Power projects worth Rs.44,000 Cr delayed, may hit plan to boost supply” (July 18, 2024) contains inaccurate information regarding POWERGRID’s transmission projects.
In Detail :
Clarifying the Record
Out of 50 projects worth Rs.60,439 Cr being implemented by POWERGRID the article inaccurately claims 18 projects worth Rs. 29,300 crore face an average 32 month delay. Only 6 projects (total value: Rs. 6,500 crore) face delays due to the Supreme Court judgment on transmission lines in Great Indian Bustard (GIB) areas. With the issue resolved, these projects are on track for completion by year-end. The article mistakenly includes system strengthening schemes and consultancy assignments as generation evacuation projects, inflating the delay figures.
Clarification on Projects
- NER System Strengthening: Projects in North Eastern Region and Sikkim (Rs. 15,829 crore) are for system strengthening, not generation evacuation. Over 62% of the works in Arunachal Pradesh and Sikkim, and over 98% of the works in remaining North Eastern States are already commissioned.
- Raigarh-Pugalur Project: This project is fully operational since 2020.
- Other System Strengthening Projects: Four projects (Rs. 5,700 crore) experience delays due to Right of Way issues and system shutdowns.
- Fiber Optic Cable Installation: This project is not for power evacuation. However, it is nearly complete (over 99%).
No new generation capacity is hindered by delays in POWERGRID’s transmission projects. All projects implemented in the past five years were completed before generation commenced. The transmission schemes are planned keeping in view the demand scenario in future and lines may not be loaded to their full capacity from the year of commissioning. Interim arrangements are also made, as required, for evacuation of power, till the final transmission system is ready. This ensures that there is no bottleneck in evacuation of RE power.
In India, we are targeting to complete the High Voltage AC transmission system within 24-36 months and HVDC system within five years, which is much less than the time taken in implementation of transmission schemes in other countries which is typically more than 8-9 years.
It is the sole responsibility of the Transmission System Provider (TSP) implementing the transmission scheme to complete the projects within the stipulated timelines. All efforts are made from time to time to resolve the issues being faced by TSPs hampering the progress of the projects. Further, in case of Tariff Based Competitive Bidding (TBCB) projects, suitable penalty is imposed on TSPs for delay in completion of projects.
Despite consistent high growth in both energy consumption and peak demand over the past few years, India has successfully met its power needs. Plans, developed in consultation with states, are underway to ensure that demand is successfully met until 2032.
