Companies like L&T, Kalpataru Power and KEC International plan to participate in eight transmission projects of Rural Electrification Corporation (REC) and Power Finance Corporation (PFC) as developers for a 35-year concession. Tenders for the projects are expected next month.
The decision to run the projects on a ‘build, own, operate, maintain and transfer’ basis, however, depends on assurances from the authorities that the linked power plants should simultaneously ready along with the transmission lines, and that payments for wheeling electricity should be guaranteed.
It is expected that four of PFCÂ’s projects are of similar size. K Venkatesh, Infrastructure Development Project Head of L&T, said they were willing to participate as before. Transmission being an intermediary between generators and consumers, the company has to ensure that both parties are ready when L&T complete the projects.
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