POWERGRID Acquires Bidar Transco And Khavda V-B1B2 To Strengthen India’s Power Transmission Network

Power Grid Corporation of India Limited (POWERGRID) has acquired two power transmission companies, Bidar Transco Limited (BTL) and Khavda V-B1B2 Power Transmission Limited (KVB1B2PTL), under the Tariff-Based Competitive Bidding (TBCB) route. These acquisitions aim to strengthen the power transmission network in India and support ongoing infrastructure projects in Karnataka and Gujarat.

On February 18, 2025, POWERGRID completed the acquisition of Bidar Transco Limited. This company is responsible for the augmentation of transformation capacity at Bidar Power Station, including the installation of additional transformers. The project is being developed under the Build, Own, Operate, and Transfer (BOOT) model. The acquisition was made from REC Power Development and Consultancy Limited (RECPDCL), the designated Bid Process Coordinator. BTL was incorporated on November 5, 2024, and is yet to start commercial operations. After the acquisition, the company will focus on power transmission in India. The total acquisition cost was approximately ₹6.52 crore, which included 50,000 equity shares at ₹10 each, along with its assets and liabilities. The final cost may be adjusted based on BTL’s audited financial statements at the time of acquisition.

Similarly, on the same date, POWERGRID acquired Khavda V-B1B2 Power Transmission Limited. This company is responsible for increasing transformation capacity at two sub-stations under the KPS1 and KPS2 GIS schemes in Gujarat. The project follows the BOOT model and was also acquired from RECPDCL. KVB1B2PTL was incorporated on November 18, 2024, and has yet to begin commercial operations. Like BTL, it will operate in the power transmission sector. The acquisition cost was about ₹6.51 crore, including 50,000 equity shares valued at ₹10 each, along with its assets and liabilities. The final cost will be determined after reviewing the company’s audited accounts.

Neither of these acquisitions involves related party transactions, as POWERGRID had no prior interest in the companies. Both acquisitions align with POWERGRID’s core business of power transmission and were secured through a competitive bidding process. These projects are part of India’s efforts to strengthen its power infrastructure and improve electricity distribution in key states.

For both acquisitions, necessary regulatory approvals were obtained by the Bid Process Coordinator before the transfer. However, after the acquisition, the companies will need to secure approvals for the grant of transmission licenses and the adoption of transmission charges from the Central Electricity Regulatory Commission (CERC).

The acquisition process followed the timelines set by RECPDCL. Payments were made in cash, and the transactions included both share purchases and the assumption of company assets and liabilities. With these acquisitions, POWERGRID now holds 100% ownership of both entities.

Both projects will contribute to expanding India’s power transmission capacity and improving grid reliability. By acquiring these companies, POWERGRID continues to play a crucial role in strengthening India’s energy sector and ensuring efficient power distribution.