- 5 new SPVs have been floated by the PFC to create transmission system for solar power in India
- The new entities will work to create this infrastructure to evacuate 35.9 GW solar power
- This capacity will be evacuated from solar energy zones in the states of Rajasthan and Andhra Pradesh
India’s Power Finance Corporation has announced the launch of a special purpose vehicles (SPV) to evacuate solar power from various solar energy zones, adding up to a cumulative capacity of 35.9 GW.
The 5 SPVs will be tasked to ensure development transmission system for solar power generated in solar energy zones in Rajasthan and Andhra Pradesh. The following capacity will be evacuated by the 5 companies:
- 1 GW under Phase-II Part E by Bhadla Sikar Transmission Limited
- 1 GW under Phase-II Part D by Sikar-II Aligarh Transmission Limited
- 1 GW under Phase-II Part G by Khetri-Narela Transmission Limited
- 1 GW under Phase-II Part F by Bikaner-II Bhiwadi Transco Limited
- 5 GW in Ananthapuram and 1 GW in Kurnool, Andhra Pradesh by Ananthapuram Kurnool Transmission Limited
The government of India owned non-banking financial company Power Finance Corporation Ltd (PFC) said in a Bombay Stock Exchange filing that the 5 SPVs have been incorporated as wholly owned subsidiaries of PFC Consulting Limited, a subsidiary of PFC.
With its 175 GW of renewable energy capacity target deadline fast approaching at the end of December 2022 comprising 100 GW solar power, India needs to hurry up and ensure its transmission infrastructure is in place to accommodate massive amounts of clean energy.
Recently, the Government of India announced a stimulus package for various industries to help them deal with COVID-19 related challenges, reserving INR 900 billion for electricity distribution companies to pay their dues to transmission and generation companies. This money will be distributed by the PFC and the Rural Electrification Corporation (REC).