CERC Grants Transmission Licence to Bijapur REZ Transmission Ltd. for Karnataka Project

The Central Electricity Regulatory Commission (CERC) has approved the transmission licence for Bijapur REZ Transmission Ltd., paving the way for the development of a critical inter-State transmission system aimed at integrating renewable energy from the Bijapur Renewable Energy Zone in Karnataka.

The project is to be developed under the Build, Own, Operate and Transfer (BOOT) framework and is expected to strengthen the southern grid’s ability to absorb and transmit green power.

The licence was granted under the provisions of Sections 14, 15, and 79(1)(e) of the Electricity Act, 2003, following a competitive bidding process conducted by PFC Consulting Ltd. (PFCCL), the Bid Process Coordinator designated by the Ministry of Power. Bijapur REZ Transmission Limited, a Special Purpose Vehicle (SPV) set up for the project, was handed over to G R Infraprojects Ltd. which emerged as the lowest bidder with an annual transmission charge of iNR 1,077 million.

According to the order, the transmission project comprises the establishment of a 400/220 kV pooling station near Bijapur, a 400 kV double circuit transmission line connecting Bijapur Pooling Station to Raichur, and installation of two 125 MVAr, 420 kV bus reactors to maintain grid voltage stability. The scheduled commercial operation date (SCOD) for the project has been fixed at January 16, 2027, allowing a period of 24 months from the SPV’s transfer date for commissioning.

CERC issued a preliminary order on May 14, indicating its intention to grant the licence, and directed the publication of a notice inviting public comments. As no objections or suggestions were received from stakeholders, the Commission finalised the grant of licence during a hearing held on May 29, where CTUIL (Central Transmission Utility of India Ltd.) also supported the proposal.

The Commission has imposed several standard conditions along with the grant of the licence. These include compliance with all CERC regulations and codes, providing non-discriminatory open access to the transmission system, prohibition on electricity trading, and a requirement to appoint the EPC contractor through a transparent, competitive bidding process. The licensee is also expected to maintain operational discipline as per the Central Electricity Authority’s standards and cooperate with periodic reviews by CTUIL and the Independent Engineer.

The Commission emphasised that any delays in the project implementation will be subject to close regulatory monitoring. In case of default or non-performance, appropriate action would be initiated, including possible revocation of the licence.

The Bijapur REZ project holds strategic importance as it will support the evacuation of renewable energy from one of the country’s high-potential green energy zones. It is aligned with India’s long-term vision of achieving 500 GW of non-fossil fuel capacity by 2030 and underscores the government’s continued focus on expanding transmission infrastructure to match the pace of renewable energy growth.

The CERC order concluded with directives to circulate the licence to all relevant agencies, including CTUIL, CEA, and PFCCL, for further action and implementation. The project is now on a fast-track trajectory to contribute to India's clean energy future and regional energy security.