1. Green Energy Corridors hit power producers hurdle; of 6 sub-stations planned, not even one has come up

Green Energy Corridors hit power producers hurdle; of 6 sub-stations planned, not even one has come up

Out of the total six substations that were planned in phase-1 by PowerGrid, not even a single substation has come up as of now.

By: | New Delhi | Published: May 13, 2017 5:43 AM
Out of the total six substations that were planned in the first phase under the inter-state transmission services by PowerGrid, not even a single substation has come up as of now. (Reuters)

Even as PowerGrid is trying hard to meet its timeline on Green Energy Corridors, the project under phase-1 has met with an unexpected hurdle from power producers as they are delaying their capacity additions.

Out of the total six substations that were planned in the first phase under the inter-state transmission services by PowerGrid, not even a single substation has come up as of now. The company expects to commission at least two or three substations in 2017-18 and the remaining in the next fiscal as it matches the implementation with setting up of generation plants.

“We plan to commission at least 2-3 substations in the current financial year. Two in Rajasthan (Chittor and Ajmer) and one in Tamil Nadu (Tirunvelli). The other substations would be completed in the next financial year,” a senior PGCIL official told FE.

The official noted that there have been delays on the generation side in Gujarat and Rajasthan and other renewable-rich states that has led to the delay in setting up of transmission lines in phase-1. However, he said, the company will achieve its target of completing the first phase in FY19.

According to an industry source, there are issues of mismatch of demand centres and available corridors at present. In Tamil Nadu, 1,000 MW substation at Kaythar in phase-1 failed to take off, as the independent power producers wanted to take power to Gujarat and Maharashtra, while the available corridor was for North East.

The PowerGrid official said generators are not applying for the long-term access with the Central Transmission Utility in advance which creates mismanagement of power generated if the system is not strengthened when required.

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Besides, there are challenges of last-mile connectivity. The point of connection between the inter-state and intra-state transmission lines is necessary, to meet the demand of the IPPs. “That infrastructure has to be developed by the state,” the PGCIL official said.

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