Power Grid acquires SPV to build transmission project

New Delhi: State-run Power Grid Corporation of India on Tuesday said it has acquired 100 per cent equity in a special purpose vehicle (SPV) to build an inter-state transmission project for eastern and northeastern regions. The SPV was acquired for an aggregate value of about Rs 7.04 crore, including 50,000 equity shares at par at Rs 10 each along with assets and liabilities of the company as on the acquisition date (October 10).

However, the acquisition price is subject to adjustment as per the audited accounts of the company, it added.

"Power Grid Corporation of India Ltd, pursuant to its selection as the successful bidder under Tariff based competitive bidding, has on October 10, 2022 acquired ER NER Transmission Ltd (ETL), the Project SPV to establish Inter-State Transmission System for System Strengthening Scheme for Eastern and North Eastern Regions, on build, own, operate and transfer (BOOT) basis from the Bid Process Coordinator – REC Power Development and Consultancy Ltd," it said in a BSE filing.

Power Grid Corporation appoints G Ravisankar as chief financial officer

The inter-state transmission system comprises upgradation works at 400/132kV Banka (Bihar) with implementation schedule of 24 months and establishment of 220kV D/C transmission lines passing through Assam and Arunachal Pradesh and bays extension works with implementation schedule of 36 months.

The SPV, incorporated on October 6, 2021 by the bid process coordinator, is yet to start commercial operations.

(With agency inputs)

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)