POWERGRID Acquires RNTL, to Establish Transmission System for Rajasthan SEZ

POWERGRID has announced that pursuant to its selection as the successful bidder it has acquired Ramgarh New Transmission Limited (RNTL).

The Power Grid Corporation of India Limited (POWERGRID), has announced that pursuant to its selection as the successful bidder under tariff-based competitive bidding, it has on March 9, 2021, acquired Ramgarh New Transmission Limited (RNTL) from REC Power Distribution Company Limited. RNTL is the project SPV to establish the transmission system strengthening scheme for the evacuation of power from solar energy zones (SEZ) in Rajasthan (8.1 GW) under phase II – Part A.

POWERGRID through the SPV will set up the project on a build, own, operate and maintain (BOOM) basis.

The transmission system comprises the establishment of a new 400/220 kV Substation, 400 kV DIC Transmission lines and associated substation extension works in the state of Rajasthan. The system is part of the Inter State Transmission System (ISTS) Project and is to be completed in 18 months.

As per the regulatory filing, the SPV was acquired for an aggregate value of about Rs 5.61 crore including 50,000 equity shares at par at Rs 10 each along with assets and liabilities of the company as of the acquisition date, however, the acquisition price is subject to adjustment as per the audited accounts as on date of acquisition.

In December 2020, the Ministry of Power had appointed REC to be the Bid Process Coordinator (BPC) for the purpose of selection of bidder as Transmission Service Provider (TSP) to establish transmission system for transmission system strengthening scheme for the evacuation of power from solar energy zones (SEZ) in Rajasthan (8.1 GW) under phase II – Part A.

Last month, we had reported that POWERGRID had been declared as the successful bidder under Tariff Based Competitive Bidding (TBCB) to establish two transmission projects on a build, own operate and maintain (BOOM) basis for the evacuation of power from the Solar Energy Zones (SEZ) in Rajasthan.

The first letter of intent dated February 16, 2021, has been issued to POWERGRID for the establishment of 765kV D/C transmission line and associated substation extension works in Rajasthan and Uttar Pradesh for the evacuation of power from Solar Energy Zones in Rajasthan (8.1 GW) under Phase-II Part D. 

The second letter of intent also dated February 16, 2021, has been issued to POWERGRID for the establishment of a new 400/220kV Substation, STATCOM, and substation extension work in Rajasthan and also 400kV DIC Transmission lines which traverse in Rajasthan and Haryana, under Phase-II Part-F.