Powergrid Corporation of India (PGCIL), the country’s largest power transmission utility, is currently executing projects worth around Rs 45,700 crore, a 66 per cent jump over the Rs 27,500 crore Work-in-Hand it had at the same time last year.
The projects being implemented currently include ongoing projects worth Rs 8,200 crore and new projects worth Rs 23,500 crore apart from the projects won under tariff based competitive bidding valued at Rs 14,000 crore, the company said in its latest investors presentation.
For the current financial year ending March 2023, Powergrid is working on a capital expenditure plan of Rs 8,800 crore, a 17.3 per cent jump over the last fiscal’s capex target of Rs 7,500 crore.
“Our target for capex this year is around Rs 8,800 crore, similar to what we did last year. Next year, we expect to do the same number but after that, in 2024-25, we expect it to go up in excess of Rs 12,500 crore,” Chairman and Managing Director K Sreekant said.
The company’s capex on project execution in the first half of the current financial year (April-September 2022) stood at Rs 3,219 crore on a consolidated basis, as against a capex of Rs 3,695 crore it reported for the same period last fiscal (2021-22).
Powergrid sees potential business opportunity of a whopping Rs 1.5 lakh crore in the Smart Metering segment including a Gross Budgetary Support of Rs 22,500 crore. The larger plan involves setting up 25 crore smart meters.
The company has initiated procurement process for end-to-end Smart Metering Solutions for 1 cr smart meters. It is currently evaluating the techno commercial bids submitted by companies against the tender, Sreekant said.
Powergrid is also in discussion with multiple states for setting up smart metering projects under the MoU route. It has already signed an MOU with Gujarat state discoms — Madhya Gujarat Vij Company (MGVCL) and Uttar Gujarat Vij Company (UGVCL) — to implement Advanced Metering Infrastructure (AMI) System for 66 lakh meters.
On renewable energy front, the utility is setting up its first commercial solar PV project of 85 MW capacity at Nagda in Madhya Pradesh. The feasibility study of the project has been completed and the bids will be opened shortly. It has also carried out preliminary feasibility studies for additional capacity at Aurangabad, Jabalpur, Khammam and Wardha.
