6 power supply projects cleared

The public investment board cleared six transmission projects worth Rs 8,585 crore on Wednesday. Of these, two projects worth Rs 1,500 crore will be implemented by fully independent private transmission companies.

"The projects are aimed at creating new transmission systems to enhance formation of the national grid," a power ministry official told Business Standard.

The projects passed by the board are: the East-West transmission corridor worth Rs 803 crore, strengthening of the regional transmission system for Rs 5,221 crore and strengthening of the Northern region transmission system at Rs 721 crore.

A transmission system to evacuate power of hydro electric project Parbati -III at a cost of Rs 557 crore and a transmission system to evacuate power of the Gandhar project of NTPC Ltd in the northern region at a project cost of Rs 453 crore have also been approved.

A system to evacuate power of the NTPC's Kawas project in the western region at a cost of Rs 830 crore has also been given the go-ahead. "These will be completed in two to three years," the official added.

Finance Secretary Adarsh Kishore, Power Secretary RV Shahi, Powergrid Chairman and Managing Director RP Singh and officials from the Planning Commission, the Central Electricity Authority and the ministry of programme implementation attended the meeting.

"The power ministry and the Central Electricity Authority are working out schemes to strengthen transmission systems in all regions, to be implemented by Power Grid, and in some parts, by private players," the official added.

At present, it is possible to evacuate 1,800 Mw-2,000 Mw from the east to west regions to take care of the shortage in Maharashtra, Gujarat and Madhya Pradesh.

The new East-West transmission corridor will enable 1,200 Mw of additional supply from the eastern to the western region.

The strengthening of the transmission system is considered crucial to make the provision of open access in transmission and distribution and power trading which have been provided in the Electricity Act, 2003.