Power Ministry Sets Phased HVDC Localisation Roadmap, Targets 60 Percent Local Content by 2035

The Ministry of Power has notified a revised framework mandating a phased increase in minimum local content (MLC) for High Voltage Direct Current (HVDC) substations (LCC Type), setting a target of 60 percent domestic content by 2035 under the Public Procurement (Preference to Make in India) policy.

The order amends earlier provisions issued in November 2021, which had prescribed a uniform 60 percent local content requirement for HVDC substation projects under EPC/turnkey contracts, replacing it with a staggered roadmap aligned with current industry capabilities.

Under the revised norms, the minimum local content requirement will be progressively increased from 30 percent up to March 31, 2028, to 40 percent by March 31, 2030, then to 50 percent by March 31, 2032, and finally reaching 60 percent by March 31, 2035. The Ministry said that the phased approach is intended to provide sufficient transition time for manufacturers, EPC contractors, and suppliers to scale up domestic production, build robust supply chains, and reduce dependence on imports in this highly specialised segment of the power sector.

HVDC systems play a crucial role in long-distance bulk power transmission and the integration of renewable energy into the grid, making localisation in this segment strategically important for India’s energy transition.

The Ministry added that all other provisions of the earlier order and its subsequent amendments remain unchanged. The notification has been issued with the approval of the competent authority and circulated to central ministries, state governments, regulatory bodies, and public sector undertakings for implementation.