CERC Approves Transmission Charges For Khavda Evacuation Project
POWER & RENEWABLE ENERGY

CERC Approves Transmission Charges For Khavda Evacuation Project

The Central Electricity Regulatory Commission has approved transmission charges for a renewable energy evacuation scheme in Gujarat called Transmission System for Evacuation of Power from potential renewable energy zone in Khavda area under Phase-V (eight gigawatt (GW)) Part C. The approval formalises the tariff discovered through a competitive process and advances infrastructure to support Khavda as a clean energy hub. The order is dated May 12, 2026.

The project was awarded to Adani Energy Solutions Limited (AESL) and will be implemented by its subsidiary KPS3 HVDC Transmission Limited on a Build, Own, Operate and Transfer (BOOT) basis. The petition under Section 63 of the Electricity Act, 2003, followed a bid process coordinated by PFC Consulting Limited. Four companies participated and after 49 rounds AESL quoted an annual transmission charge of Rs. 23,917.69 million (mn).

The Bid Evaluation Committee referred the tariff to a Cost Committee after the quote exceeded the Commission’s preliminary levelised estimate. The Cost Committee attributed the higher cost to the use of advanced Voltage Source Converter (VSC) technology, a first under the tariff based competitive bidding route in India, along with greater technical risks. Inflation, import duties and special geographical needs in the Khavda area, including pile foundations, further increased project cost, and the committee found the tariff justified.

The project scope includes terminal stations at KPS3 and South Olpad and a ±500 kV HVDC Bipole transmission link, with completion required within 48 months of transfer of the Special Purpose Vehicle (SPV) to the successful bidder. The expected commissioning date is December 12, 2029, and the approved charges will apply for the period specified in the Transmission Service Agreement. The Commission said the bidding complied with guidelines and that recovery of charges will be governed by the CERC’s 2020 regulations on inter?state transmission charges and losses.

The Central Electricity Regulatory Commission has approved transmission charges for a renewable energy evacuation scheme in Gujarat called Transmission System for Evacuation of Power from potential renewable energy zone in Khavda area under Phase-V (eight gigawatt (GW)) Part C. The approval formalises the tariff discovered through a competitive process and advances infrastructure to support Khavda as a clean energy hub. The order is dated May 12, 2026. The project was awarded to Adani Energy Solutions Limited (AESL) and will be implemented by its subsidiary KPS3 HVDC Transmission Limited on a Build, Own, Operate and Transfer (BOOT) basis. The petition under Section 63 of the Electricity Act, 2003, followed a bid process coordinated by PFC Consulting Limited. Four companies participated and after 49 rounds AESL quoted an annual transmission charge of Rs. 23,917.69 million (mn). The Bid Evaluation Committee referred the tariff to a Cost Committee after the quote exceeded the Commission’s preliminary levelised estimate. The Cost Committee attributed the higher cost to the use of advanced Voltage Source Converter (VSC) technology, a first under the tariff based competitive bidding route in India, along with greater technical risks. Inflation, import duties and special geographical needs in the Khavda area, including pile foundations, further increased project cost, and the committee found the tariff justified. The project scope includes terminal stations at KPS3 and South Olpad and a ±500 kV HVDC Bipole transmission link, with completion required within 48 months of transfer of the Special Purpose Vehicle (SPV) to the successful bidder. The expected commissioning date is December 12, 2029, and the approved charges will apply for the period specified in the Transmission Service Agreement. The Commission said the bidding complied with guidelines and that recovery of charges will be governed by the CERC’s 2020 regulations on inter?state transmission charges and losses.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code