PFC Consulting, acting as the Bid Process Coordinator for the Ministry of Power, has issued a single-stage Request for Proposal to select a Transmission Service Provider for the inter-state transmission system supporting the integration of the Kadapa-II Renewable Energy Zone in Andhra Pradesh. The project will be awarded through tariff-based competitive bidding and implemented under a Build, Own, Operate and Transfer model.

The planned infrastructure includes a 765/400 kV and 400/220 kV Kadapa-II Pooling Station in Andhra Pradesh. It will also feature ±300 MVAr STATCOM systems for voltage management and improved grid stability. A 765 kV double-circuit transmission line will connect Kadapa-II with Thiruvalam in Tamil Nadu.

The system is scheduled to reach commercial operation within 36 months of the effective date. Under the BOOT arrangement, the selected transmission service provider will develop, own and operate the assets and receive transmission charges for 35 years. At the end of that period, the assets, substation land, right of way and associated clearances will be transferred to the Central Transmission Utility or another designated government agency at no cost.

PFC Consulting issued the RFP on October 1, 2026. Interested bidders can purchase the documents until December 3, while requests for clarifications or amendments must be submitted by October 21. The pre-bid meeting is scheduled for October 28, with clarifications and a revised RFP planned for November 9 and final documents for November 19. Online bids must be submitted by 15:00 IST on December 4, with technical bids opening at 15:30 the same day.

The RFP carries a non-refundable fee of Rs. 0.5 mn or US$7,000, plus 18 per cent GST. Bidders must provide an Earnest Money Deposit of Rs. 387.8 mn and, if selected, a Performance Bank Guarantee of Rs. 969.5 mn within 10 days of the Letter of Intent. Eligible entities must meet technical requirements and demonstrate net worth or available investment capital of at least Rs. 7.76 bn. Qualified bidders are expected to be announced on December 14, followed by financial bids, a reverse auction and selection of the successful bidder by December 24.