Reliance Power Transmission (RPTL) has signed power transmission agreement with eight entities from the western region for two inter-state power transmission projects.
RPTL, the wholly-owned subsidiary of Reliance Infrastructure, has inked the agreement through its two Special Purpose Vehicles (SPVs) for the projects under the Western Region System Strengthening Scheme-II (WRSSS-II), a release here said.
“This is a major achievement that shall pave the way for attaining financial closure for these projects, costing Rs 1,800 crore,” the release said.
On the directive of the Central Electricity Regulatory Commission (CERC), the Power Grid Corporation of India, as the bid process co-ordinator, had invited tariff-based competitive bids in 2005 for establishing 400 KV double circuit transmission lines of around 1,500 kilometres under WRSSS-II in the western region, prominently in Maharashtra and Gujarat.
On winning the project as the lowest bidder, RPTL, obtained transmission licence from the CERC and was entrusted to establish the transmission lines under the scheme.
After prolonged deliberations with the western region entities, the power transmission agreements have been now signed.
With this, RPTL will become the first-ever private transmission utility to build these first-ever 100 per cent privately-owned inter-state transmission projects in the country, it added.
On completion of the projects as scheduled by the end of December 2010, they would facilitate the smooth flow of surplus power in eastern and northern regions of the country to the western region.
These projects, once commissioned, will benefit the western region constituents such as the Maharashtra State Electricity Distribution Company, MP Power Trading Company, Gujarat Urja Vikas Nigam Limited, Chhattisgarh State Power Distribution Co, MP Audyogik Kendra Vikas Nigam Limited, the Goa Government’s electricity department and the electricity departments of the administrations of Daman & Diu and Dadra & Nagar Haveli, the release said.
