REC Limited has announced the incorporation of its wholly-owned subsidiary, Kukshi Alirajpur Transmission Limited. This new entity, established on July 29, 2026, will focus on strengthening the intra-state transmission system in the Kukshi/Alirajpur area. The subsidiary was incorporated as a step towards developing new EHV Substations and associated transmission lines. Kukshi Alirajpur Transmission Limited is a subsidiary of REC Power Development and Consultancy Limited (RECPDCL), itself a wholly-owned subsidiary of REC Limited.
REC Limited Forms New Subsidiary
REC Limited has officially announced the incorporation of a new subsidiary named Kukshi Alirajpur Transmission Limited. This development, dated July 30, 2026, marks a significant step in the company’s strategic expansion within the power transmission sector. The new entity was incorporated on July 29, 2026.
Purpose and Structure
The primary objective behind the formation of Kukshi Alirajpur Transmission Limited is to facilitate the strengthening of the intra-state transmission system in the Kukshi and Alirajpur regions. This will be achieved through the establishment of new Extra High Voltage (EHV) Substations and associated transmission lines. The project is linked to an order by the Government of Madhya Pradesh, dated February 9, 2026, which appointed REC Power Development and Consultancy Limited (RECPDCL) as the Bid Process Coordinator (BPC).
Kukshi Alirajpur Transmission Limited is structured as a Wholly Owned Subsidiary of RECPDCL, which itself is a Wholly Owned Subsidiary of REC Limited. This means that REC Limited indirectly holds a 100% stake in the newly incorporated company. The authorized and paid-up capital for Kukshi Alirajpur Transmission Limited is set at ₹5,00,000/- each. As it is a newly incorporated company, its turnover is not applicable yet.
Project Rationale and Future
The incorporation is driven by the need to develop key transmission infrastructure. Following the selection of a successful bidder through the Tariff Based Competitive Bidding (TBCB) process, Kukshi Alirajpur Transmission Limited, along with its assets and liabilities, is slated to be transferred to the successful bidder. This strategic move aligns with REC’s mandate to support the development and strengthening of India’s power transmission network.
Financial Details
The consideration for the acquisition of shares in Kukshi Alirajpur Transmission Limited is stated as 100% subscription to the equity share capital in cash. The cost of acquisition is at face value, with REC Limited holding 100% of the shareholding and control in the subsidiary.
Source: BSE
