PFC Establishes A Subsidiary To Improve The Transmission Of Renewable Energy

In a recent development, a special company was created as a subsidiary of PFC Consulting Limited, which itself is a subsidiary of Power Finance Corporation Limited. This special company, known as Halvad Transmission Limited, was formed for a specific purpose – to develop a transmission system that will help in transferring an additional 7 GW of renewable energy from the Khavda Renewable Energy Park.

The Ministry of Power, part of the Government of India, has appointed PFC Consulting Limited as the ‘Bid Process Coordinator’ to select the right developer for independent transmission projects. In simpler terms, this means they are in charge of finding the right company to build the transmission lines that will carry the energy from the Khavda Renewable Energy Park.

As per the rules set by the Ministry of Power, the Bid Process Coordinator, in this case, PFC Consulting Limited, has to do several things before the actual construction begins. They have to create a project plan, check if the land needs to be acquired, and get the necessary permissions, like forest clearances if there are forests in the area.

To handle these tasks, a special company, known as a Special Purpose Vehicle or SPV, needs to be set up. This SPV is like a team that will do all the planning and preparation work for the transmission project.

Once all the planning and preparations are complete, the SPV will be handed over to the company that wins the bid to build the transmission system. This means the SPV’s work is to get everything ready, and then another company will take over to build and run the transmission lines.

This entire process is part of a big plan to enhance the transmission of renewable energy from the Khavda Renewable Energy Park, which is a significant source of clean and green power. It’s an essential step in India’s efforts to boost renewable energy and make it more accessible to people. In April 2023, the Ministry of Power officially appointed PFC Consulting Limited as the Consultant and Bid Process Coordinator for this project. And now, with the creation of Halvad Transmission Limited, they are well on their way to making this plan a reality.