Maharashtra State Electricity Transmission Company Limited (MSETCL) plans to invest Rs 1,50,000 crore over the next five to seven years to set up new transmission lines and modernize existing infrastructure.
“In the next six months, projects worth Rs 25,000 crore to Rs 30,000 crore will be on the ground,” said Sanjeev Kumar, Chairman and Managing Director of MSETCL, speaking at the Mumbai Climate Week on Tuesday.
The company currently has Rs 7,000 crore on its books and expects to generate another Rs 3,000 crore by the end of FY26. “So we will invest Rs 10,000 crore in the near term,” Kumar added.
Leveraging Funds through TBCB
MSETCL plans to use equity of 25% to 30% to leverage the remaining funds. “With TBCB coming, there is no issue with funds. We can generate annual tariff for the next 35 years,” Kumar said.
He noted that the main challenge is upgrading older lines, as over 40% are more than 35 years old.
TBCB (Tariff-Based Competitive Bidding) is a framework mandated by the Ministry of Power to develop transmission infrastructure through a transparent, competitive process rather than direct nomination.
MSETCL is India’s largest state transmission utility, operating over 140,000 MVA of capacity and 52,000 circuit km of network.
Renewable Energy Transition
Kumar highlighted that the share of renewables in Maharashtra’s energy mix is expected to rise from 30% in 2023 to 60% by 2030.
In a related discussion, Lokesh Chandra, Chairman and Managing Director of Maharashtra State Electricity Distribution Company, said the state will provide 24×7 renewable power through a 2.5 GW capacity plan. This project involves an investment of Rs 30,000 crore, which will be funded by private players via tariff-based bidding.
“The reliability of renewables is as good as thermal power and tariffs are lower than that of thermal,” Lokesh Chandra, Chairman and Managing Director of Maharashtra State Electricity Distribution Company said.
He added that Maharashtra’s total power requirement is projected to grow from 30 GW to 45 GW by 2030.
This investment plan and focus on renewables underscore Maharashtra’s commitment to strengthening power transmission infrastructure while supporting the green energy transition.
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