In a regulatory filing, the Tata group company stated that the transmission project will be developed under a build-own-operate-transfer (BOOT) framework.
The transmission project special purpose vehicle (SPV) established by PFC Consulting Ltd., Bikaner-III Neemrana-II Transmission Ltd., has been acquired by Tata Power in the winning bid. The victory is anticipated to increase India’s use of renewable energy.
A division of Power Finance Corporation is PFC Consulting.
Build-own-operate-transfer (BOOT) will be the development model for the transmission project, according to a regulatory filing by the Tata group company. It will make it possible to remove 7.7 GW of renewable energy from Rajasthan’s Bikaner complex.
The project involves the construction of a transmission corridor spanning approximately 340 km, connecting the Bikaner Neemrana II substation to the Bikaner-III pooling station.
According to the guidelines released by the union ministry of power, Tata Power further stated that it obtained the letter of intent subsequent to being declared the successful bidder in the tariff-based competitive bidding (TBCB) process.
It intends to continue the transmission project for 35 years. The project is anticipated to be completed in 24 months from the date the project SPV is transferred, with an estimated cost of Rs 1,544 crore.
The project will play a crucial role in the ministry of power’s 2022 roadmap, which calls for integrating over 500 GW of renewable energy capacity into the national grid by 2030, the company continued. This is provided the project is successfully commissioned.
Across the whole power value chain, from the generation of conventional and renewable energy to transmission and distribution, trading, storage solutions, solar cell and module manufacturing, Tata Power has a diversified portfolio totaling 14407 MW.
Its clean energy generation capacity is 5547 MW, or 39% of its total capacity.
It has been concentrating on products like rooftop solar, microgrids, storage solutions, and EV charging infrastructure among others as part of its clean energy focus.
Due to increased revenues from its core business, Tata Power recorded a 9% increase in its consolidated net profit for the July–September quarter of this year, coming in at Rs 1,017.41 crore.
Its combined net profit for the same quarter of the previous fiscal year was Rs 935.18 crore.