The Central Electricity Regulatory Commission (CERC) has issued an interim order on a petition filed by Power Grid Corporation of India Limited (PGCIL) for fixing transmission tariffs for the 2024–29 period. The petition relates to key infrastructure developed under the “Transmission Network Expansion in Gujarat” project, which is aimed at increasing the Available Transfer Capability (ATC) of the Inter-State Transmission System (ISTS) in the Western Region.
The project includes two major assets. Asset-1 is a 1500 MVA Inter-Connecting Transformer installed at the Padghe substation. Asset-2 is a larger system that includes a 400 kV New Navsari–Magarwada double-circuit transmission line, GIS line bays, a 125 MVAr bus reactor, and two 500 MVA transformers at the New Navsari substation. This infrastructure is important for integrating renewable energy from the Khavda region and reducing load on existing lines such as the Kala–Kudus 400 kV line.
The Commission approved the commercial operation date (COD) of Asset-1 as July 3, 2024. However, Asset-2 faced delays. PGCIL requested a “deemed” COD of March 20, 2025, stating that the asset was ready but could not be fully used because the downstream transmission system under Gujarat Energy Transmission Corporation Limited (GETCO) was not complete. PGCIL said the system could still partially operate once GETCO completes its 220 kV connections.
The Central Transmission Utility of India Limited (CTUIL) confirmed that Asset-2 is physically complete and meets safety standards. However, key downstream lines such as Navsari–Sachin and Navsari–Khajod are likely to be ready only by June 2026. CTUIL added that once initial connections are completed, the system can support a power flow of over 250 MW to the Navsari area.
As per Regulation 10(3) of the 2024 Tariff Regulations, the Commission has allowed an interim tariff of 90% of the claimed amount. This will help PGCIL start billing while the final tariff is under review. For Asset-1, the company has claimed around ₹895 lakh for part of 2024–25. For Asset-2, the claimed annual charges for 2025–26 are over ₹13,400 lakh.
The Commission also stated that if the final tariff is lower than the interim rate, PGCIL will have to return the extra amount collected, along with interest. This order ensures cost recovery for important transmission projects while detailed evaluation continues.
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