PGCIL to invest Rs55,000 cr in 5 yrs

PGCIL to invest Rs55,000 cr in 5 yrs

Chennai: Central transmission utility PowerGrid Corp (PGCIL) said on 7 September it plans to invest Rs55,000 crore in the next five years to expand the national grid capacity to transmit 37,000 mw of electricity by 2012.

To part finance these projects, PGCIL is hoping to raise up to Rs3,000 crore in the upper end and Rs2500 crore in the lower end from its Initial Public Offer, which opens on 10 September and closes on 13 September, A R Agarwal, Executive Director, Business Development (PGCIL) said.

“The price band for the issue has been fixed between Rs44 and Rs52 per equity share," he told reporters here.

The proceeds would be used to part-finance 15 projects that entail a total investment of Rs12,280 crore.

PGCIL owns and operates 61,875 circuit kms of transmission lines.The proposed 15 projects would enhance its transmission system by 13,022 circuit km. The company currently has inter-regional electricity transfer capacity of around 14,000 mw and plans to scale it up to 37,000 mw.