Power Grid Corporation of India Limited (POWERGRID) has emerged as the successful bidder for a major POWERGRID transmission project in Gujarat under the Tariff Based Competitive Bidding (TBCB) process.
The project will support the integration of renewable power from the Jam Khambhaliya Renewable Energy Zone (REZ) Phase II and Jamnagar Phase-I. POWERGRID received the Letter of Intent (LoI) on August 21, 2026, with a discovered tariff of Rs 822.91 crore per annum.
POWERGRID Transmission Project to Support 6,500 MW Renewable Capacity
The project is titled “Transmission System for Integration of Power from RE Projects in Jam Khambhaliya REZ in Gujarat – Phase II (5,500 MW) and Jamnagar Phase-I (1,000 MW)”.
It will be developed under the Build, Own, Operate and Transfer (BOOT) model.
The transmission system will facilitate the evacuation of up to 6,500 MW of renewable power from the two designated renewable energy zones.
POWERGRID Transmission Project Includes New GIS Substation
The project will involve the development of a new GIS substation at Kalyanpur in Gujarat.
It will also include ICT augmentation and bay extension works at substations that are currently under construction. In addition, POWERGRID will develop 765 kV transmission lines across Gujarat.
These facilities will help connect renewable generation assets to the interstate transmission network.
Project to Strengthen Renewable Power Evacuation
The POWERGRID transmission project will strengthen Gujarat’s transmission infrastructure and improve its capacity to evacuate large-scale renewable energy.
The Jam Khambhaliya REZ Phase II will support the integration of 5,500 MW, while Jamnagar Phase-I will add another 1,000 MW of renewable power capacity to the transmission plan.
The project is therefore expected to play an important role in integrating renewable generation into India’s interstate grid.
POWERGRID Strengthens Position in Renewable Transmission
The successful bid further expands POWERGRID’s role in India’s renewable energy transmission network.
As renewable generation capacity grows, robust interstate transmission infrastructure will be critical for moving electricity from resource-rich regions to demand centres. The project highlights the growing importance of high-capacity transmission systems in India’s clean-energy transition.
Key Project Details
POWERGRID has won the inter-state transmission project through the TBCB process for integrating 6,500 MW of renewable power from Jam Khambhaliya REZ Phase II and Jamnagar Phase-I in Gujarat. The company received the LoI on August 21, 2026, with a discovered tariff of Rs 822.91 crore per annum. The project will be developed under the BOOT model and includes a new GIS substation at Kalyanpur, ICT augmentation, bay extensions and 765 kV transmission lines.

