The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has approved the scheme on Green Energy Corridor (GEC) Phase-II for Intra-State Transmission System (InSTS) for adding about 10,750 circuit kilometres (ckm) of transmission lines and 27,500 Mega Volt-Amperes (MVA) transformation capacity of substations. The scheme will facilitate grid integration and power evacuation of approximately 20 GW of renewable energy (RE) power projects in seven states of Gujarat, Himachal Pradesh, Karnataka, Kerala, Rajasthan, Tamil Nadu and Uttar Pradesh.
The scheme is targeted to be set up with a total estimated cost of Rs.12,031.33 crore and Central Financial Assistance (CFA) of 33 percent of the project cost, i.e., Rs.3,970.34 crore. The transmission systems will be created over a period of five years from the financial year 2021-22 to 2025-26. The CFA will help in offsetting the intra-state transmission charges and, thus, keep the power costs down. The scheme will help in achieving the target of 450 GW installed RE capacity by 2030.
Green Energy Corridor Phase-II will also contribute to India’s long-term energy security and promote ecologically sustainable growth by reducing carbon footprint, says the official statement issued by CCEA. The scheme will generate large direct and indirect employment opportunities for both skilled and unskilled personnel in power and other related sectors, it adds.
The new scheme is in addition to GEC-Phase-I which is under implementation in Andhra Pradesh, Gujarat, Himachal Pradesh, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan and Tamil Nadu for grid integration and power evacuation of approximately 24 GW of RE power and is expected to be completed this year. The scheme is for the addition of 9700 ckm of transmission lines and 22600 MVA capacity of substations having estimated cost of transmission projects of Rs.10,141.68 crore with CFA of Rs.4,056.67 crore.