POWERGRID has won the bid for a major interstate transmission project for Tumkur-II that will help Karnataka use more renewable energy. The project was given to the lowest bidder through the tariff-based competitive bidding (TBCB) process, which is a common way to give out big gearbox assets.
The company received the Letter of Intent (LoI) dated March 30, 2026, confirming its selection for the project.
Project to Enable 2.7 GW Renewable Energy Integration
The goal of the project, called “Transmission System Strengthening at Tumkur-II for Integration of Additional Renewable Energy Potential (2.7 GW),” is to make it easier to move and add 2.7 GW of renewable energy to the national grid.
This development is aligned with India’s broader renewable energy expansion goals, where strengthening transmission infrastructure is critical to ensure efficient power flow from generation hubs to demand centres.
Industry platforms such as Energetica India and PowerLine have highlighted the increasing role of interstate transmission systems in supporting large-scale renewable deployment across states.
Scope Includes 400 kV Line and Substation Augmentation
As part of the project scope, POWERGRID will develop a 400 kV double-circuit transmission line across Karnataka. In addition, the project includes augmentation works at the Tumkur-II pooling station, such as the installation of interconnecting transformers (ICTs) and associated line bays.
These upgrades are expected to enhance grid reliability, increase transmission capacity, and support seamless integration of renewable power.
Execution on BOOT Model
The project will be done on a Build, Own, Operate, and Transfer (BOOT) basis. This model says that POWERGRID will build, own, and run the gearbox asset for a set amount of time before giving it to someone else, which is how it usually does business.
Strengthening India’s Renewable Infrastructure
The Tumkur-II project win strengthens position of POWERGRID as a major player in India’s transmission sector, especially when it comes to integrating renewable energy. As more solar and wind power plants are built, it becomes more and more important to invest in transmission infrastructure.
The Tumkur-II project represents another step toward building a robust and resilient grid capable of supporting India’s clean energy transition while ensuring reliable and efficient power delivery nationwide.
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