First power project commissioned under incentive

Rajasthan Atomic Power Project, constructed by Sterlite Grid, was awarded in 2013 and has been commissioned ahead of schedule

Following the power ministry’s recent order to incentivise power transmission projects achieving early completion, the transmission project of Rajasthan Atomic Power Project (RAPP) has been commissioned ahead of schedule.

The government had issued an order in July 2015 that transmission projects won under tariff-based competitive bidding (TBCB) and those awarded to PowerGrid Corporation for system strengthening would get transmission charge from the date of commercial operations, even if it is ahead of schedule.

In a statement to the exchanges, Sterlite Grid, which constructed RAPP, said the project, which was awarded to the company in 2013, was completed within 12 months from the start of construction and would directly benefit the states of Madhya Pradesh, Punjab and Haryana. This makes RAPP the first project eligible for the power ministry’s incentive programme.

The estimated cost of the project is nearly Rs 275 crore. The project includes laying a 200-km, 400-kilovolt double-circuit transmission line passing through Rajasthan and Madhya Pradesh. It will act as an inter-regional link to strengthen transmission systems associated with RAPP to exchange power between the northern and western grids, the company said. The July 2015 order was in the wake of delays in the commissioning of key transmission corridors. Among the five major projects won by the private sector under TBCB that were scheduled to be commissioned between 2012 and 2015, only three have been successfully commissioned. Also, around 15 transmission projects to be constructed by state-owned PowerGrid are also mired in delays as the associated generation projects have not come up. Transmission constraints lead to congestion in the grid with power-deficit states reeling under shortage and surplus with no evacuation. The south and east grid face such irony. The government is trying to iron out the mismatch between generation and transmission by accelerating transmission project development. A LIGHTBULB MOMENT

• Following the power ministry’s recent order to incentivise power transmission projects achieving early completion, the transmission project of Rajasthan Atomic Power Project (RAPP) has been commissioned ahead of schedule
• The estimated cost of the project is nearly Rs 275 crore
• The project includes laying a 200-km, 400-kilovolt double-circuit transmission line passing through Rajasthan and Madhya Pradesh
• It will act as an inter-regional link to strengthen transmission systems associated with RAPP to exchange power between the northern and western grids