Indian power transmission major Sterlite Power has announced the financial closure for Lakadia-Vadodara Transmission Project Ltd. (LVTPL) by securing 2,024 Crore funding on 3rd March 2020. The company has secured funds from IndusInd Bank and L&T Infrastructure Finance.
Estimated cost of the proposed transmission system is Rs. 2740 Cr. The remaining funds shall come from internal accruals.
The project is being carried out under Government of India’s ambitious Green Energy Corridor (GEC). The inter-state project will help to connect wind energy zones of Bhuj in Gujarat to load centers in the States of Gujarat and Maharashtra.
Sterlite Power’s Scope of work
The work involves laying of 330 Km of 765 KV double-circuit transmission line to connect 765/400 KV Lakadia substation to Vadodara substation in Gujarat. The project is to be completed in 18 months.
As mentioned in company’s press release dated 3rd March 2020, Anuraag Srivastava, CFO – Sterlite Power, said “This project is aligned to our country’s renewable energy target of 175 GW by 2022. As a leading global developer in power transmission, Sterlite Power aims to deliver and execute large scale renewable energy transmission projects across the country.”
Sterlite Power had won this project through tariff-based competitive bidding process on Build, Own, Operate and Maintain (BOOM) model for thirty-five years from PFC Consulting.
Lakadia-Vadodara Transmission Project Ltd.
PFC consulting limited is a subsidiary of Power Finance Corporation, the nodal agency for this project. For execution of the project PFC consulting had formed a special purpose vehicle (SPV) known as Lakadia–Vadodara Transmission Project Ltd (LVTPL). LVTPL was acquired by Sterlite Power after successful bidding in December 2019.
About Sterlite Power: Sterlite Power is a developer of power transmission infrastructure with projects of over 13,315 circuit Km and 23,885 MVA in India and Brazil. Its product portfolio includes power conductors, EHV cables, and also offers solutions for upgrading, up-rating and strengthening existing networks. It is listed both on the BSE and NSE.