UHV AC Transmission System soon, says Minister
Power Minister Manohar Lal announced that in a massive push for energy security and renewable integration, under a Rs.5,400 crore scheme which aim to attract Rs.33,000 crore in investment, meeting the country’s 30 GWh of Battery Energy Storage Systems (BESS) requirement by 2028 http://powermin.nic.in.
He informed that the Power Ministry has approved a Viability Gap Funding (VGF) scheme for 30 GWh in addition to the 13.2 GWh already underway.
Addressing a press conference, the Minister stated that the waiver of Inter-State Transmission System (ISTS) charges for storage projects has been extended until 30 June 2028, benefitting Pumped Storage Projects (PSP) awarded and BESS commissioned before this date https://www.conexpoconagg.com/.
“This extension is crucial for meeting India’s growing storage needs and optimising the utilisation of transmission lines,” he underlined.
Manohar Lal also announced that India is set to revolutionize its power transmission with the rollout of an Ultra High Voltage Alternating Current (UHV AC) Transmission System https://www.globaltenders.com/.
Nine 1100 kV lines and ten substations have been identified for development by 2034, with testing facilities under development by the Central Power Research Institute. Investment would be Rs.53,000 crore.
Manohar Lal said that in a landmark move, the central government has increased the compensation for land used in laying transmission lines to ease the Right of Way issues https://ted.europa.eu/en/.
Compensation for the tower area has jumped from 85% to 200% of the land value, and for the Right of Way (RoW) corridor from 15% to 30%, directly linking land value to market rates. Haryana and Delhi have already adopted the new guidelines issued on 21 March 2025.
In a move set to attract more private investment and ensure financial discipline, the Late Payment Surcharge (LPS) Rules have been expanded to include Intra-State Transmission Systems.
This crucial reform, previously applied only to Inter-State Transmission Systems, aims to expand the Intra-State Transmission networks to absorb Renewable Electricity https://sbi.com.in/.
Elaborating on power programmes, the Minister also stated that in an unprecedented feat, India added its highest-ever generation capacity of 34 GW during 2024-25, with renewable energy accounting for 29.5 GW.
The nation’s total installed capacity now stands at 472.5 GW, up from 249 GW in 2014.
Adding flexibility to the grid, 250 MW first unit of Tehri Pumped Storage Project (PSP) in Uttarakhand has been commissioned. This project will help in managing peak demand and integrating renewable energy.
A testament to significant additions in generation and transmission capacities, India’s national energy shortage has drastically reduced to a mere 0.1% as of April 2025 https://www.nseindia.com/.
This marks a monumental improvement from the 4.2% shortage experienced in 2013-14, ensuring greater power availability for all.
Manohar Lal said, “It is our goal to make power accessible to everyone and at all times and the government is aiming for 100% electrification of households across the country https://www.bseindia.com/.”
The Minister declared that India has become power sufficient meeting all its power demands and well on the path of power surplus country.
He informed that demonstrating remarkable growth and resilience, India successfully met peak power demand of 241 GW on 9 June 2025.
“This achievement, underscores the nation’s robust power infrastructure, with zero peak shortage reported,” he underscored. Fiinews.com
