Tata Power Secures Letter of Intent for Jejuri Hinjewadi Transmission Project

Tata Power has received a Letter of Intent (LOI) from REC Power Development and Consultancy Limited for the acquisition of Jejuri Hinjewadi Power Transmission Limited. This project, developed on a Build-Own-Operate Transfer basis, involves constructing a 115 km, 400 kV double-circuit line between Jejuri and Hinjewadi. The transmission service agreement spans 35 years from the Scheduled Commercial Operation Date, set 24 months after the SPV transfer.

Transmission Project Acquisition

Tata Power has secured a Letter of Intent (LOI) for the acquisition of Jejuri Hinjewadi Power Transmission Limited, a special purpose vehicle (SPV). The LOI was awarded by REC Power Development and Consultancy Limited, a wholly-owned subsidiary of REC Limited. This acquisition signifies Tata Power’s continued expansion in the power transmission sector.

Project Details and Scope

The Jejuri Hinjewadi Power Transmission project will be developed on a Build-Own-Operate-Transfer (BOOT) basis. Key aspects of the project include:

  • Transmission Service Period: 35 years from the Scheduled Commercial Operation Date (SCOD).
  • SCOD Timeline: SCOD is set for 24 months post the SPV transfer.
  • Infrastructure: Construction of approximately 115 km of 400 kV double-circuit (D/c) transmission line between Jejuri and Hinjewadi.
  • Substations: Extension of 400 kV GIS line bays at substations in both Jejuri and Hinjewadi.

Financial Considerations

The annual transmission charges for the project are valued at ₹155.78 crore over the 35-year agreement period. This project strengthens Tata Power’s portfolio in the transmission sector and ensures a steady revenue stream over the long term.

Source: BSE

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