Govt invites Germany’s state-run KfW to fund transmission projects

By: |
February 20, 2020 3:45 AM

At the end of September, 2019, as much as 5,050 ckt-km of transmission lines have been constructed.

renewable energy, green energyKfW has already promised to loan 500 million euros towards the ‘Green Energy Corridor’ project, and till September, 2019, it had already disbursed 206 million euros to that end.

Indian government representatives on Wednesday met representatives of Germany’s state-run bank KfW to discuss the financing of new transmission projects being built across the country for upcoming renewable energy projects.

KfW has already promised to loan 500 million euros towards the ‘Green Energy Corridor’ project, and till September, 2019, it had already disbursed 206 million euros to that end. The development bank has also disbursed 475 million euros to state-run transmission company Power Grid Corporation of India for the additional 3,200 circuit kilometer (ckt-km) Gujarat-Rajasthan-Panjab and Tamilnadu-Andhra Pradesh transmission corridors.

“Anand Kumar, the secretary of the ministry of new and renewable energy (MNRE), held discussions with the delegation from KfW for financing Green Energy Corridor to project for establishing new transmission systems in Uttar Pradesh, Himachal Pradesh and Ladakh,” MNRE’s official handle said on Twitter on Wednesday evening.

To facilitate the integration of large scale renewable energy projects, the Cabinet in FY16 had approved the construction of 9,400 ckt-km intra-state transmission system (Green Energy Corridor) in potentially renewable rich areas in Andhra Pradesh, Gujarat, Himachal Pradesh, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan and Tamil Nadu at an estimated cost of Rs 10,142 crore with the Union government’s contribution of Rs 4,057 crore. At the end of September, 2019, as much as 5,050 ckt-km of transmission lines have been constructed.

As reported by FE earlier, the government plans to install 23 giga-watt (GW) of grid-connected solar projects in Ladakh and it has to build adequate transmission system for power evacuation. The first phase of the ‘ultra mega’ solar project would comprise 2,500 MW capacity in the Kargil region and 5,000 MW in Leh district. As per the initial plan, for the Kargil-based plants, transmission lines would originate at Zangla, traversing through Kargil and Alusteng (Srinagar) before they terminate at New Wanpoh in Anantnag. The plants in Leh would have to be connected to the New Kaithal switching substation in Haryana. The ministry of new and renewable energy has charted the basic blueprint for the first phase, seen to be warranting investments worth `45,000 crore. The transmission systems would warrant special foundation with raised platform and other avalanche protection measures.

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