NEW DELHI: The Union Cabinet has approved the ₹1,86,405 crore Green Energy Corridor Phase-III scheme to strengthen intra-state transmission networks and integrate up to 135 GW of renewable energy across India.
The programme also provides for 50 GWh of battery energy storage systems to improve grid flexibility, reduce congestion and help meet electricity demand when solar generation is unavailable.
₹54,082 crore central support
The total outlay includes ₹1,36,378 crore for intra-state transmission systems and ₹50,000 crore for battery energy storage. The Centre will provide financial support of ₹54,082 crore.
The financial assistance is intended to offset intra-state transmission charges and help contain electricity costs for consumers as renewable generation expands.
Target completion by 2032-33
The scheme is targeted for completion by 2032-33. Greenfield transmission projects will be awarded through tariff-based competitive bidding, while upgrades and strengthening of existing networks will be carried out on a cost-plus basis.
State Transmission Utilities will serve as the overall implementing agencies. Transmission service providers selected through competitive bidding will operate projects under a build-own-operate-maintain model.
The battery systems may be installed at renewable-energy generation sites or other strategically important locations. They are intended to address intermittent generation, congestion, peak-hour curtailment and electricity requirements outside solar-generation hours.
Supports 900 GW non-fossil capacity target
The programme is designed to support India’s target of reaching 900 GW of installed non-fossil power capacity by 2035. Expansion of transmission and battery storage is also expected to create employment in power infrastructure, manufacturing, construction, operations and grid management.