Maharashtra Ambernath Power Transmission Subsidiary Formed
Maharashtra’s power infrastructure is taking a strategic leap forward with the incorporation of Ambernath Power Transmission Limited, a wholly owned subsidiary of REC Limited, created specifically to develop a 400/220 kV Gas Insulated Switchgear (GIS) transmission project near Ambernath in Thane district. Announced in December 2025, the move illustrates how corporate structuring can facilitate targeted delivery of large-scale grid assets that are essential for metropolitan load growth, industrial electrification and a more resilient power network.
The new entity, formed under the umbrella of REC Power Development and Consultancy Limited (RECPDCL) — itself a REC Limited subsidiary — was established pursuant to a Government of Maharashtra directive that allocates the intra-state project to RECPDCL as Bid Process Coordinator (BPC). The GIS project is being tendered through a Tariff-Based Competitive Bidding (TBCB) framework and, upon bidder selection, the special purpose vehicle (SPV) will be transferred to the successful developer along with associated assets and liabilities.GIS technology, used in this transmission scheme, represents a compact, highly reliable alternative to traditional air-insulated switchgear. Its denser configuration is particularly suited to urban and peri-urban environments where land constraints and system reliability demands are high. For the rapidly growing Mumbai metropolitan region, a GIS installation at Ambernath is expected to bolster grid stability, support load balancing and facilitate integration of new generation and distribution assets.
Urban and industrial planners see this as a noteworthy step in addressing the region’s evolving electricity needs. As cities like Mumbai and neighbouring Thane and Navi Mumbai expand, the pressure on transmission corridors — already strained by rising domestic and commercial demand — necessitates investments in modern, scalable infrastructure. This project could also ease bottlenecks that constrain industry and data centres, sectors that account for a growing share of energy consumption in Maharashtra.Economists and energy specialists highlight that creating subsidiary entities for project execution enables sharper focus on delivery milestones and contractual clarity, while insulating broader corporate operations from project-specific risks. Such structures are increasingly common in transmission project development, where SPVs serve as temporary vehicles until competitive bidding and transfer to developers are complete.
The Ambernath move complements other REC-coordinated projects across Maharashtra, as state and central authorities aim to strengthen grid resilience and integrate variable renewable generation into the power mix. Observers note that integrating GIS systems, alongside traditional high-voltage transmission lines, can reduce outages and support capacity expansion without the extensive land requirements of conventional substations.
Still, the success of this and similar initiatives hinges on timely regulatory clearances, efficient land acquisition and strong private participation in the bidding process. As Maharashtra’s load centres grow, the execution and coordination of robust transmission projects — from Ambernath to other districts — will be critical to sustaining economic activity, lowering system losses and advancing long-term climate-aligned energy goals.
