The Central Electricity Regulatory Commission (CERC) has permitted transmission license to Powergrid Bhuj Transmission Limited. On Build, Own, Operate and Maintain (BOOM) basis, Power Grid Corporation of India (PGCIL) will establish a transmission system for providing connectivity to renewable energy (RE) Projects at Bhuj-II (2 GW) in Gujarat.
Based on the competitive bidding carried out by PFC Consulting Limited per the Guidelines issued by the Ministry of Power, Government of India under Section 63 of the Act, Power Grid Corporation of India Limited emerged as the successful bidder with the lowest Levelized transmission charges of Rs.1237.67 million per annum.
In the document, the commission stated that, In an order dated 24.1.2020, they had proposed to grant transmission license to the Petitioner company and directed for the issue of public notice.No suggestions/objections was received in response to notice hence CTU in its letter dated 6.12.2019 has granted transmission license to the Petitioner.
It also stated that “We are satisfied that the Petitioner company meets the requirements of the Act and the Transmission Licence Regulations for grant of transmission license for the subject Transmission System mentioned of this order. Accordingly, we direct that Transmission Licence be granted to the Petitioner, Powergrid Bhuj Transmission Limited, to establish “Transmission System for providing connectivity to RE Projects at Bhuj-II (2000 MW) in Gujarat” on Build, Own, Operate and Maintain basis as per the details given in this order”.
The grant of transmission license to the Petitioner is subject to the fulfillment of the following conditions :
(a) The transmission license shall, unless revoked earlier, remain in force for a period of 25 years.
(b) The transmission licensee shall comply with the provisions of the Transmission Licence Regulations and condition of the TSA during the period of subsistence of the license.
(c) Since the expiry date as per the TSA is 35 years from the scheduled COD of the Project, the licensee may make an application, two years before the expiry of the initial license period, for grant of license for another term.
(d) The licensee shall not enter into any contract for or otherwise engage in the business of trading in electricity during the period of subsistence of the transmission license.
(e) The licensee shall provide non-discriminatory open access to its Transmission System for use by any other licensee, including a distribution licensee or an electricity trader, or generating company or any other person
(f) The licensee shall not undertake any other business for optimum utilization of the Transmission System without prior intimation to the Commission and shall comply with the provisions of the Central Electricity Regulatory Commission.
“Central Electricity Authority shall monitor the execution of the Project and bring to the notice of the Commission any lapse on the part of the licensee to meet the schedule for further appropriate action per the provisions of the Act and Transmission Licence Regulations”, The commission highlighted.