Government-Backed Maharatna Power Stock Secures 400kV DC Transmission Line Project for Power Evacuation in Madhya Pradesh
The company has a robust Rs 1,43,749 crore work in hand, primarily focused on renewable energy projects.
Power Grid Corporation of India Limited (POWERGRID) has been awarded the contract to develop an inter-state transmission system under the Tariff-Based Competitive Bidding process. The project, titled 'Transmission System for Evacuation of Power from Mahan Energen Limited Generating Station in Madhya Pradesh', will be executed on a Build, Own, Operate, and Transfer (BOOT) basis. POWERGRID received the Letter of Intent (LoI) on April 1, 2025, after being declared the successful bidder. The project includes the construction of a 400kV Double Circuit (D/C) Transmission Line and the development of associated bays at the existing Rewa Power Station (PG) sub-station in Madhya Pradesh.
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Power Grid Corporation of India Limited, a Maharatna CPSU, is India's largest electric power transmission company, with the Government of India holding a 51.34 per cent stake. Established in 1989, the company is responsible for setting up extra-high voltage alternating current and high-voltage direct current transmission lines. Its primary business segment, transmission, accounts for 95 per cent of its operations, with a vast network covering over 1,77,790 circuit kilometres of lines and 278 substations.
The company transmits more than 45 per cent of India's electrical energy and has achieved a 10 per cent revenue growth in this segment between FY22 and FY24. Power Grid also operates in the telecom sector through its subsidiary, PowerTel, and offers consultancy services. The company has a robust Rs 1,43,749 crore work in hand, primarily focused on renewable energy projects. It aims to achieve a capex target of Rs 15,000 crore in FY25, with significant investments in transmission infrastructure. Power Grid is also exploring emerging business areas such as renewable energy, battery energy storage systems, and green hydrogen, positioning itself for future growth.
The stock price of Power Grid Corporation of India Limited is Rs 289 per share. The 52-week high is Rs 366.20 and the 52-week low is Rs 247.50. Power Grid Corporation of India Limited has a market capitalisation of Rs 2,69,066 crore, a 1-year return of 6 per cent, a 3-year return of 85 per cent and a PE ratio of 17.3.
Disclaimer: The article is for informational purposes only and not investment advice.