State-run Power Grid Corporation Ltd (PGCIL) has emerged as the lowest bidder for Vemagiri II power transmission project of around Rs 6,300 crore in a tariff based auction.
"PGCIL has emerged as the lowest bidder for Vemagiri II power transmission project of around Rs 6,300 crore. The financial bids were opened today," source said.
The source added that Kalpataru Power Transmission has emerged as the lowest bidder for Alipurduar power transmission project for which financial bids were also opened.
For Vemagiri II project, PGCIL has bid very aggressively and quoted Rs 359 crore annual tariff per annum followed by Sterlite Grid (Rs 429.05 crore), Essel (Rs 459 crore) and Adani (Rs 585 crore).
Similarly for Alipurduar project, Kalpataru Power Transmission quoted the lowest tariff of Rs 129.4 crore per annum followed by Essel (Rs 129.6 crore), PGCIL (138 crore), Sterlite Grid (Rs 161 crore) and Adani (Rs 198 crore).
REC Transmission Projects (RECTPL) has conducted the auction of the two projects. Wholly-owned subsidiary of state-run Rural Electrification Corporation, RECTPL had earlier postponed the opening of financial bids for the two projects on October 16.
The Vemagiri II project will strengthen the transmission system beyond Vemagiri and will be called Vemagiri II Transmission Ltd. It will traverse through Andhra Pradesh and Karnataka.
Similarly, the Alipurduar project will strengthen transmission system in India for transfer of power from new hydroelectric projects in Bhutan. It will traverse through Bihar and West Bengal.
The government has planned to put transmission projects worth Rs 1 lakh crore on the block for auction during the current fiscal.
Various government panels and authorities have been backing the move to rope in private developers.
Power sector regulator CERC has stated that tariffs discovered through competitive bidding are 30-45 per cent lower than the cost-plus route.
