+
Only 12 Per Cent of TBCB Transmission Projects Met SCOD
POWER & RENEWABLE ENERGY

Only 12 Per Cent of TBCB Transmission Projects Met SCOD

A latest report by ICRA has highlighted a mismatch between the rapid growth in renewable energy projects and the pace of associated transmission infrastructure development. It found that out of the total projects commissioned by March 2026 under the tariff-based competitive bidding route only 12 per cent met their scheduled commissioning date, while the remainder were commissioned with delays ranging from two months to three years and a median delay of over ten months. The agency warned that such delays increase the risk of inadequate power evacuation and grid curtailment for developers.

The rating agency projects capital expenditure of Rs. five to six trillion (tn) between FY2026-27 and FY2031-32 to strengthen existing infrastructure, add evacuation capacity and develop new transmission routes. ICRA noted that the investment requirement is driven by the Government plan to evacuate power from over 900 GW of non-fossil fuel capacity by 2035-36, of which around 548 GW is expected to be solar and wind. It added that land acquisition and right of way constraints remain key execution challenges that could delay project completion timelines.

ICRA reported that around 33 per cent of recently commissioned renewable capacity was being evacuated under the Temporary General Network Access route as of May 2026, reflecting persistent transmission constraints. Curtailment under T-GNA was highest during solar hours and remained in the range of 50 to 60 per cent in affected regions, particularly Rajasthan and Gujarat, while southern regions experienced limited curtailment. The agency also noted that outstanding orders and inflows for transmission equipment suppliers more than doubled in FY2025-26 versus FY2021-22, but supply and labour constraints persist.

To bridge the gap ICRA estimated the sector needs a significant increase in annual transmission line and substation capacity additions of about 20,000 circuit kilometres and 120 gigavolt-amperes (GVA), implying an investment opportunity of at least Rs. five to six tn between 2026-27 and 2031-32. It warned that slippages in commissioning of planned transmission infrastructure could impede renewable capacity additions or prolong grid curtailment, materially affecting project returns unless execution bottlenecks are addressed.

A latest report by ICRA has highlighted a mismatch between the rapid growth in renewable energy projects and the pace of associated transmission infrastructure development. It found that out of the total projects commissioned by March 2026 under the tariff-based competitive bidding route only 12 per cent met their scheduled commissioning date, while the remainder were commissioned with delays ranging from two months to three years and a median delay of over ten months. The agency warned that such delays increase the risk of inadequate power evacuation and grid curtailment for developers. The rating agency projects capital expenditure of Rs. five to six trillion (tn) between FY2026-27 and FY2031-32 to strengthen existing infrastructure, add evacuation capacity and develop new transmission routes. ICRA noted that the investment requirement is driven by the Government plan to evacuate power from over 900 GW of non-fossil fuel capacity by 2035-36, of which around 548 GW is expected to be solar and wind. It added that land acquisition and right of way constraints remain key execution challenges that could delay project completion timelines. ICRA reported that around 33 per cent of recently commissioned renewable capacity was being evacuated under the Temporary General Network Access route as of May 2026, reflecting persistent transmission constraints. Curtailment under T-GNA was highest during solar hours and remained in the range of 50 to 60 per cent in affected regions, particularly Rajasthan and Gujarat, while southern regions experienced limited curtailment. The agency also noted that outstanding orders and inflows for transmission equipment suppliers more than doubled in FY2025-26 versus FY2021-22, but supply and labour constraints persist. To bridge the gap ICRA estimated the sector needs a significant increase in annual transmission line and substation capacity additions of about 20,000 circuit kilometres and 120 gigavolt-amperes (GVA), implying an investment opportunity of at least Rs. five to six tn between 2026-27 and 2031-32. It warned that slippages in commissioning of planned transmission infrastructure could impede renewable capacity additions or prolong grid curtailment, materially affecting project returns unless execution bottlenecks are addressed.

Related Stories

Gold Stories

Next Story
Products

Interio by Godrej launches modular workplace solutions

Interio by Godrej has launched Workscapes, a modular workplace solutions category designed to help organisations configure and adapt workspaces to changing requirements. The portfolio combines mobile and compatible furniture and support elements that can be rearranged across different work modes without changes to fixed layouts.Workscapes includes Collaboration Tables, Privacy Solutions, Mobile Markerboards and Space Dividers, Power Solutions, Storage and Support Elements, Meeting and Presentation Tools, and Seating Elements. The range is designed for focused work, collaboration, informal disc..

Next Story
Infrastructure Urban

CAFE-III Gives Auto Industry Investment Clarity

The government’s new Corporate Average Fuel Economy (CAFE-III) norms have provided the automobile industry with a clearer framework for technology investments, according to industry representatives. The framework seeks to balance environmental objectives with flexibility for manufacturers while encouraging the adoption of flex-fuel vehicles and biofuels. Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the five-year framework would give automakers greater predictability to plan investments and accelerate innovation. He said the regulation established annual targ..

Next Story
Infrastructure Energy

Mines Ministry to Auction Two Offshore Mineral Blocks in Andaman Sea

The Ministry of Mines will launch an auction of two offshore mineral blocks in the Andaman Sea on Thursday, seeking to unlock India’s offshore mineral potential and strengthen long-term mineral resource security. The blocks will be offered under a composite licence, which permits exploration and development activities in accordance with the applicable regulatory framework. The ministry said the auction was intended to encourage systematic exploration, attract investment and promote the use of advanced technologies for offshore mineral exploration and development. The initiative is also aimed..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code