Power Grid Wins Key Transmission Project in Andhra Pradesh
Power Grid Corporation of India has been selected as the successful bidder for a critical transmission project in Andhra Pradesh, aimed at bolstering the state’s capacity to integrate additional renewable energy sources. The project, which was awarded through tariff-based competitive bidding (TBCB), will enhance the region’s power transmission infrastructure and is part of India’s broader strategy to expand renewable energy integration.
The project, titled “Transmission System Strengthening at Kurnool-III PS for Integration of Additional Renewable Energy Generation Projects,” will be developed on a Build, Own, Operate, and Transfer (BOOT) basis. As part of the plan, the existing Kurnool-III substation will see its transformation capacity augmented, and extension works will be carried out at the nearby Cpeta substation. A new 765 kV double-circuit transmission line will also be constructed, connecting critical parts of the grid. The entire scope of this ambitious project lies within Andhra Pradesh, a state that has shown significant growth in renewable energy generation.
On 6 March 2025, Power Grid Corporation received the Letter of Intent (LoI) for this significant project, which is expected to drive the expansion of renewable energy infrastructure in the region. Experts believe the project will serve as a crucial step towards reducing the state’s dependence on conventional power sources, while also improving grid reliability and facilitating the smooth transmission of solar and wind energy.
The Power Grid Corporation, a Maharatna enterprise under the Ministry of Power, has been at the forefront of India’s efforts to develop a modern, efficient, and sustainable power transmission network. The company has consistently expanded its reach across the nation, ensuring that renewable energy is efficiently integrated into the grid.
However, despite this latest project win, the company recently reported a decline in its consolidated net profit by 4.1% to ₹3,861.63 crore in Q3 FY25, compared to ₹4,028.25 crore in the same quarter last year. Additionally, its revenue from operations fell by 2.7% year-on-year, standing at ₹11,233.03 crore for the quarter ended 31 December 2024. These results reflect the challenges that the company faces amid ongoing investment and expansion in its infrastructure projects.
Nevertheless, the successful bid for the Andhra Pradesh transmission project is expected to be a vital growth driver. The project will not only bolster the state’s power grid but also contribute to economic growth by enhancing the region’s renewable energy capabilities. As the country pushes towards its sustainability goals, projects like this one are integral to India’s energy transition.
