CERC Considers Transmission License For Barmer I Project To Evacuate 5.5 GW Renewable Energy From Rajasthan REZ

Representational image. Credit: Canva

On 12th March 2025, the Central Electricity Regulatory Commission (CERC) issued an order in response to the petition which was filed by Barmer I Transmission Limited, a 100% subsidiary of Power Grid Corporation of India Limited. The company applied for a transmission license to establish a transmission system for the evacuation of power from Rajasthan Renewable Energy Zone Phase-IV (Part-2: 5.5 GW) covering the Jaisalmer and Barmer complex. This project is categorized under Part F (by clubbing Part F1 and F2) and is to be executed on a Build, Own, Operate, and Transfer basis.

The project involves the development of key transmission infrastructure, including the establishment of a 765/400 kV Barmer-I Pooling Station. This station will have 3 transformers of 1500 MVA, along with 2 transformers of 500 MVA, and various associated equipment such as bus reactors and line bays. The scheduled commissioning date for this pooling station is 7th November 2026. The implementation of the transmission system is essential for facilitating the evacuation of 5.5 GW of renewable energy from the Rajasthan Renewable Energy Zone, and all project elements are interdependent and must be commissioned simultaneously.

The scope of work includes constructing double-circuit lines from Fatehgarh-III (Section-2) to Barmer-I Pooling Station and from Barmer-I to Sirohi Pooling Station. These lines are critical for the transfer of renewable energy generated in Rajasthan to other regions. As part of the project, switchable line reactors and additional infrastructure will also be established at these pooling stations.

The bidding process for the selection of the transmission service provider was conducted by PFC Consulting Limited, which was appointed as the Bid Process Coordinator by the Ministry of Power through a gazette notification dated 4th September 2023. The bid process began on 28th October 2023 and concluded on 7th November 2024. Three bidders participated in the process: Power Grid Corporation of India Limited, Sterlite Grid 31 Limited, and Adani Energy Solutions Limited. After the reverse auction, Power Grid Corporation of India Limited emerged as the lowest bidder with quoted transmission charges of ₹2,473.60 million per annum. The letter of intent was issued to Power Grid Corporation on 9th October 2024, and the company accepted it, acquiring Barmer I Transmission Limited on 7th November 2024.

The Contract Performance Guarantee (CPG) submitted by Power Grid Corporation of India Limited amounts to ₹73.50 crore. The guarantee was furnished on 7th November 2024, ensuring the company’s commitment to executing the project.

Connectivity applications from various renewable energy generators have already been received for the Barmer-I Pooling Station. These include companies like ACME Cleantech Solutions, Anboto Solar, Auxo Sunlight, Eden Renewable Cadet, and others. The granted connectivity ranges from 50 MW to 600 MW per applicant, with multiple companies furnishing Connection Bank Guarantees (Conn-BGs) ranging from ₹0.5 crore to ₹12 crore, depending on their connectivity quantum.

The CERC found that all procedural requirements for granting the transmission license had been met, including notices published in national newspapers and digital platforms inviting objections and suggestions from stakeholders. No objections were received, and the Central Transmission Utility of India Limited (CTUIL) recommended the grant of the license.

Based on these considerations, the CERC issued directions for publishing a public notice and invited objections by 21st March 2025 before making a final decision. The commission emphasized that the petitioner, Barmer I Transmission Limited, must implement the project according to the Transmission Service Agreement (TSA) and other applicable regulations. The commission has scheduled a hearing on 25th March 2025 to review any objections and finalize the decision regarding the license.

This transmission project plays a critical role in India’s renewable energy strategy. It will ensure that power generated from Rajasthan’s renewable energy zones is efficiently evacuated and integrated into the national grid, supporting the country’s goal of expanding renewable energy capacity by 2030.

 

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