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A power link across the country
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In addition to its own resources and involvement of private participation in projects, Power Grid has had continued assistance from the World Bank.
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— FILE PHOTO
LIGHTING UP: High voltage power transmission lines from the Power Grid Corporation in Chennai.
From very modest beginnings almost two decades ago, the Power Grid Corporation of India has blossomed into a Nav-Ratna status public sector undertaking now — that status was conferred on May 1. Powergrid has emerged as the world’s third largest transmission utility that now offers to take up and commission projects in other parts of the world. Put together with the assets of nine companies, Powergrid now manages the transfer of electricity across the country -
from a surplus region to a deficit area.
With a phased capacity building exercise and construction of transmission lines through difficult terrain, the PSU has offered hope to the power-hungry States that are unable to meet their own energy requirements. From a situation when whole towns or regions suffered a blackout because of power failure, this national network enables them to draw electricity on an emergency basis from a surplus region, through a network of regional load dispatch centres.
Main objective
Though set up in 1989, Powergrid started its commercial operations in 1992-93, when it had about 22,230 circuit km of transmission lines. It has tripled that capacity and correspondingly raised its turnover too. Its profits last year touched $355 million — nearly a third of its turnover. The objective of this PSU was to implement a perspective transmission plan for establishment of an integrated National Power Grid, to strengthen the five regional grids structured on geographical contiguity, and to support the generation capacity addition programme of about 100,000 MW of power during the X and XI Plans. Its inter-regional transfer capacity, which was just 9,500 MW in 2004-05, should climb up to 30,000 MW by 2012.
In addition to its own resources and involvement of private participation in projects, Powergrid has had continued assistance from the World Bank. Under a series of power system development projects, the World Bank extended four loans, which, along with other loans from its parent entities, amounted to $2.5 billion. With successive projects to build on transmission capacity, Powergrid enables the transfer of hydroelectric power from Arunachal Pradesh, for instance, through West Bengal, to Uttar Pradesh. It can tap gas-based power from Kayamkulam in Kerala to light up homes in Kashmir. Gaining from its experiences, Powergrid has essayed into the telecom sector, and also provides consultancy services on transmission projects, most recently in Afghanistan.
The World Bank, in its review of the ‘partnership’ with Powergrid, says: “One of Powergrid’s most successful achievements has been in managing and protecting the environment. It has undertaken several technological innovations aimed at minimising damage to natural resources and human habitat. It used the Geographical Information System and satellite imagery to determine transmission line routes and sites for substations.”
Today, Powergrid has gained such recognition to become a ‘role model’ among developing country transmission network operation, load dispatch and project management. It has taken up work in Nepal, Bhutan, and Afghanistan, constructing towers in some of the riskiest terrain on the planet, and is looking to work in several other countries.
According to Powergrid, the total investment required in the central transmission sector during the X and XI Plans periods has been pegged at about Rs. 71,000 crore.
It plans to invest about Rs. 50,000 crore and mobilise the balance through private participation. The plan envisages another $400 million loan from the World Bank.
Union Power Ministry sources say that the demand for transfer of power from one region to another was growing steadily, with the demands peaking in summer and winter. Delhi, Punjab, Gujarat, Maharashtra, and the four southern States needed additional energy for their peak demands, while the eastern and northeastern States provided the surplus energy to them. Powergrid charged the State electricity boards for the transmission. When the current thinking on buying power from neighbouring countries crystallised, Powergrid would perhaps be involved in that transfer too.
V. JAYANTH
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