The Cabinet Committee on Economic Affairs (CCEA), chaired by the Prime Minister Narendra Modi, has approved the creation of an intra state transmission system in the States of Andhra Pradesh, Gujarat, Himachal Pradesh, Karnataka, Madhya Pradesh, Maharashtra and Rajasthan at an estimated cost of Rs 8548.68 crore with Government of India contribution from National Clean Energy Fund (NCEF) of Rs 3419.47 crore (40 percent of the total estimated cost of project).

The activities envisaged under the project includes establishment of 48 new Grid sub-stations of different voltage levels with total transformation capacity around 17100 MVA (Mega Volt Ampere) by installing over 7800 ckt-kms (Circuit Kilometers) of transmission lines in these seven states. The project is proposed to be completed within a period of three to five years.

The cost on creating intra-state transmission system is proposed to be met through KfW loan (40 percent of the total cost), NCEF grant (40 percent of the total cost) and the remaining 20 percent as State contribution.

These States are rich in renewable resource potential and large capacity renewable power projects are planned there. Creation of an intra state transmission system will facilitate evacuation of renewable power from generation stations to load centres.

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