Gautam Adani to the rescue: Adani Transmission wins Rs. 1,200 crore power transmission project

high voltage

As power demand witnessed a spike in the country, power companies scrambled to up their power outputs. Despite their efforts, power shortages are still a common occurrence across India. Madhya Pradesh, in particular, is reeling under the ill-effects of unscheduled power cuts.

Although the state is signatory to the power of purchasing agreements for the 21,000MW daily. It is falling well short of meeting the demands. Faced with such challenges, Madhya Pradesh is floating tenders and contracts to strengthen its power generation and transmission lines. The most recent awardee, Adani Transmission Limited (ATL). The company, part of the multinational conglomerate owned by billionaire Gautam Adani. It takes care of the group’s power transmission business.

The Letter of Intent (LoI) for the acquisition of MP Power Transmission Package-II Ltd. It was received by ATL after winning the project through the Tariff-Based Competitive Bidding (TBCB) process. The project was incorporated by REC Power Development and Consultancy Ltd. It gives ATL the right to build, own, operate and maintain the project for 35 years.

ATL already has a presence in 12 states with a transmission network of over 18,800 circuit kilometers. Out of which 13,200 circuit km is operational and the other 5,600 circuit km at various stages of completion. Incorporated in 2015 by Gautam Adani as a separate entity. ATL has grown to be one of India’s largest private sector power transmission companies. With a transformative capacity of more than 36,700MVA.

The project calls for the construction and maintenance of approximately 850 ckt km. Transmission Lines & Air Insulated Substations of various voltage levels (220kV and 132kV). The proposed plan will cover 18 districts of Eastern Madhya Pradesh and will require an investment of Rs. 1,200 crores from ATL. Once the project is up and running. It will strengthen the power transmission system for the Madhya Pradesh Power Management Company (MPPMCL).

Power generation in India’s central state is abysmal with only 7,900MW being produced by the state units. This is wholly insufficient to meet the daily demand of 9,000MW. Forcing the state government to purchase power for meeting the requirements. The entry of the Gautam Adani-owned ATL is certainly a godsend. Armed with years of experience and an old hand in providing exceptional service. ATL’s latest undertaking will light up Madhya Pradesh’s darkened homes.